13 Déc 2020

Non Compete Agreement Nova Scotia

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While a share purchase agreement also led to the implementation of five-year competition contracts by the defendants, it was alleged that no part of the sale price had been awarded to the overvalue because the non-competitive agreements had not been taken into account. The Tribunal rejected this argument and found that non-competitors « are an integral part of the overall concentration. » 58 At the beginning of his relationship, Dr. Park had signed a non-competition agreement that limited his competition with IRIS for a period of 3 years to 5 km from his site. The judge found that these time and geographic constraints were appropriate, but that the description of prohibited activities was too broad. The prohibited activities were « pursuit, commitment, interest in a competing iris company. » The Court of Appeal upheld the judge`s judgment and also found that the clause was ambiguous and broad. However, courts can extend the application of the restrictive federal state to a third party if it is a business vehicle for the person who entered into the Bund. In a Nova Scotia decision, a franchisee violated the restrictive contract of a franchise agreement by engaging directly in a competing pizza restaurant that was to be opened 20 metres from the franchisor`s pizza restaurant. The franchisee was at one time a shareholder and chairman of the company that belonged to the competitor, whereas he was no longer a shareholder or chairman at the time of the request for omission. The franchisor argued that the company submitted to the competing company was essentially a substitute for the franchisor and that it should be prohibited from opening its restaurant pending legal proceedings.

To obtain an improvement in a contract, « it must be proven that the parties argued in the agreement, but that they miswritten it by mistake. » 24 Therefore, Shafron provided no evidence of a prior agreement explaining the term « Metropolitan City of Vancouver » and, therefore, the doctrine of correction could not be applied.25 An aggrieved employer by a worker who thwarted such an agreement should consider taking steps to avoid further loss of activity and seek compensation for the loss of the worker as a result of the offence.

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