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Jul 3, 2019 · The Supreme Court has today (03 July 2019) handed down its long-awaited decision in the appeal of Tillman v Egon Zehnder Ltd, setting out a new test for severance in relation to post-termination restrictions.
The judges unanimously allowed an appeal in the case of Egon Zehnder v Tillman, rendering the non-compete clause set by the recruitment company enforceable and clarifying how employers should approach the drafting of non-compete clauses in employment contracts.
Shortly after Ms Tillman’s employment came to an end on 30 January 2017, she informed EZ UK that she intended to start working for a competitor. She made clear that she did not intend to comply with the NCC as it was, she alleged, an unreasonable restraint of trade and thus void.
The judgment is an important one in the employee covenant context. Its most significant effects are clarifying the ‘validity principle’, and lowering the test for severance, allowing an employer more readily to excise an offending part of post-termination restriction.
On 23 May 2017 Mr Justice Mann (“Mann J”) in the High Court granted the injunction. The Court of Appeal allowed Ms Tillman’s appeal and set aside the injunction.
Oct 10, 2020 · In its landmark judgment in Tillman v Egon Zehnder Ltd, 1 the UK Supreme Court has delivered detailed guidance on the law relating to the enforceability of restrictive covenants in employment contracts.
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Why did the Supreme Court reject Tillman's 'concerned in' clause?
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Did Egon Zehnder take action against Ms Tillman?
Is Tillman a severance case?
Jul 10, 2019 · The recent judgment on restrictive covenants in contracts, Tillman v Egon Zehnder, overturned a century-old principle on competition clauses. But what does it mean for employers when writing employment contracts?
