Asked by Christian Rivera on Jul 02, 2024
Verified
When ________ are included in the original employment contract, committing the employee not to work in a particular geographical area or a particular industry after leaving the position, they have to specify a reasonable time and area.
A) provisions
B) restrictive covenants
C) special rules
D) working conditions
E) employment restrictions
Restrictive Covenants
Clauses in contracts that limit the actions of parties, often related to employment, real estate, and business operations to protect interests.
Original Employment Contract
The initial agreement defining terms and conditions between an employer and employee at the start of employment.
Geographical Area
A specific physical location, defined by natural or artificial boundaries.
- Comprehend the legal basis and implications of restrictive covenants in employment contracts.
Verified Answer
AN
ashish nagal7 days ago
Final Answer :
B
Explanation :
Restrictive covenants are clauses in contracts that restrict the actions of the parties involved, often used in employment contracts to prevent employees from competing with their former employers after leaving the company. These covenants must specify a reasonable time and area to be enforceable.
Learning Objectives
- Comprehend the legal basis and implications of restrictive covenants in employment contracts.