Digisolutions Limited is a fintech startup involved in the business of providing financial services. Digisolutions is interested in conducting research into the most effective means to market their products and services. To achieve this, they employed Mr Ben Thomas and Mr Tony Black to assist in conducting this research.
Digisolutions has some concerns about disengaging employees with the company's confidential information and trade secrets, especially if the research turns out to be successful. The question is, does it make sense for Digisolutions to protect their substantial research investment or not?
The concerns of Digisolutions are quite common amongst employers. This is because employers are usually faced with the unfortunate reality that a disengaging employee may port over and willfully transfer information, capacity and resources obtained in the course of their employment to their competitors. The preferred way to protect Digisolutions' interests will be through a non-compete or restrictive covenant in the contract of employment of the employees.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.