When Are Non-Competes Enforceable?
Whether a restrictive covenant, like a non-compete clause, is enforceable depends on the context. In Dr. C. Sims Dentistry Professional Corporation v. Cooke, 2024 ONCA 388, Justice van Rensburg of the Ontario Court of Appeal upheld the trial judge’s decision to enforce the restrictive covenants placed on a dentist after he sold his practice.
In her reasons, Justice van Rensburg notes that courts will give more scrutiny to the reasonableness of a restrictive covenant in the employment context. Conversely, when looking at restrictive covenants in the context of a sale of a business, courts will apply the presumption . . . [more]