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The Case Concerned A Clause Under Which The Vendor Of An Accountancy Business Agreed That He Would Not "Canvass, Solicit Or Endeavour To Entice Away" Any Clients. The Purchaser Alleged That This Covenant Had Been Breached.
The Case Concerned A Clause Under Which The Vendor Of An
Accountancy Business Agreed That He Would Not "Canvass,
Solicit Or Endeavour To Entice Away" Any Clients. The
Purchaser Alleged That This Covenant Had Been Breached.
The High Court Agreed. In The Course Of The Judgment, The Judge
Observed:
Both "Canvassing" And "Soliciting" Involve
An Approach To Customers With A View To Appropriating The
Customer's Business. There Has To Be An Active Component And A
Positive Intention. A General Advertisement About Availability For
Custom Would Not Be A Breach.
It Is Not Necessarily The Case That The Person Giving The
Covenant Must Initiate Contact With Clients. What Matters More Is
What Is Said At The Meeting Between The Two.
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.
