Payment made to individual for non-compete in context of share purchase transaction not subject to income tax
In Manrell v. The Queen, 2003 FCA 128, the Federal Court of Appeal ruled that a payment made to an individual for a personal non-compete restriction in the context of share purchase transaction was not subject to income tax.
This Tax Update ("Court says Non-Compete Payment is Non-Taxable") by lawyers at Davis & Company discusses the decision.
A lawyer at Clark Wilson, a Vancouver, BC law firm, has written a paper entitled "Post Employment Competition and Customer Solicitation" (2001). The paper's Table of Contents sets out the following topics: read more »
Two lawyers at Davis & Company in Vancouver have written a paper entitled, "Restrictive Covenants in Franchising – Drafting and Enforcement".
The paper's table of contents is as follows:
Unfair Competition in the Employment Context
2. Employer's Protectible Interests
3. The Enforceability of a Non-Competition Covenant
b. The Four - Pronged Test
i. Employer's Proprietary Interests
ii. Time and Spatial Restrictions
iii. Reasonableness of the Protection Provided to the Employer
iv. Public Interest
c. Effect of Unreasonable Covenant
4. Remedies for an Employee's Breach of the Non-CompetitionCovenant
b. The Anton Pillar Order
d. Liquidated Damages