Market Trends 2017–2021: Post-employment Restrictive Covenants
This practice note provides an overview of restrictive covenant obligations contained in executive employment agreements and discusses recent market trends in publicly filed executive employment agreements from 2017 to the first half of 2021. Specifically, it discusses non-competition clauses and employee non-solicitation and client/customer non-solicitation clauses. Such provisions prohibit executives from taking certain actions that are adverse to their employers' interests. As indicated below, these have become common features of employment agreements and other compensatory agreements with executives.