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Restrictive Covenants: Spot the difference – restrictions in sale and shareholder agreements
The courts take a markedly different approach to enforcing covenants in sale-and-purchase and investor agreements compared to those in employment contracts, reports Sam Whitaker ‘Generally, the courts treat restrictive covenants in sale-and-purchase agreements (SPAs) more favourably than those in employment contracts. This is because they assume the parties have equal bargaining power.’ Restrictive covenants in …
