Enforcing Restrictive Covenants in Foreign Locations

Publisher: MSI GTS

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Enforcing Restrictive Covenants in Foreign Locations

Anytime a company sends an employee on assignment, there are multiple issues to consider when dealing with the host country’s employment and labor laws. One area that may be overlooked is the use of restrictive covenants in the employment contract, which can help protect the employer’s business interests both at home and in a foreign location. These covenants include clauses that control or prohibit certain actions by an employee during employment or following termination. As most employees will conduct themselves well while employed, restrictive covenants usually only need to be enforced if they quit or are terminated, to prevent them from using the employer’s information or resources illegally.