Unlock the Power of eSignature Legality for Non-Compete Agreements in Canada

How to eSign a document: e-signature legality for Non-Compete Agreement in Canada

[Music] non-competition clauses in Canada are invalid unless they meet very specific criteria they have to be reasonable as to the geography as to the amount of time and also to the limitations so you certainly can't have a clause that says someone can't compete against you for five years in the whole world in any way it has to be limited to be reasonable competitors to protect the business interest that you have but limited non competition clauses are valid although the public policy from the public policy perspective it there's a very strong standard that they have to meet a lot of non competition clauses that are out there are in fact invalid [Music] non-solicitation clauses are more likely to be valid that's protecting the employers clients that's protecting the built up relationships they are often more so valid and to protect those relationships if someone does solicit is specifically solicited they might oh damn adjust that past employer if they breach a contract so it is important to abide by non-solicitation clauses often if you terminate it it opens up a very interesting scenario because if an employee is wrongfully terminated which can either be their accused of cause or just so they're not given enough notice okay then any what would be called restrictive covenants and non-competitive clauses and on solicitation clauses become invalid generally under Canadian law in their contracts so if you're wrongfully terminated then you can generally compete as much as you want against your past employer no matter the previous contract what that means to an extent is that it's very important as to whether or not termination if you're interested in competing counts as wrongful and something often that employees hire an employment lawyer to be able to negotiate out but it puts you in a strong position on the other hand if an employee is let go and they want to compete they have to be very careful about that competition because the employer might well attempt to use that as a chilling effect to cut down on competition