Telehop’s non-competition clause too broad to be enforceable

|Canadian Employment Law Today

Telehop Communications Inc. v. Abott (2002), 22 C.C.E.L. (3d) 142 (Ont. S.C.J.)

Telehop Communications sought an interlocutory injunction restraining its former employee from breaching a non-competition clause contained in his employment contract. The non-competition provision was broad.

It prohibited the employee, Stephen Abott, from providing consulting services or otherwise being concerned with any business that was competitive with Telehop for a period of two years or such lesser amount of time as a court might determine is more reasonable. Abott had started an action against Telehop for constructive dismissal after the termination of his employment.