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Singapore
restraint of tradefidelity fiduciary duty
Smile Inc Dental Surgeons Pte Ltd v Lui Andrew Stewart
[2012] SGCA 39; [2012] 4 SLR 308
Key Principle
A restrictive covenant in an employment contract is enforceable only if it protects a legitimate proprietary interest and is reasonable in the interests of the parties and the public; the onus is on the employer to draft a reasonable covenant, and covenants unlimited in duration (as here) are an unreasonable restraint of trade and unenforceable, with the discretionary severance approach generally not applied to save over-wide employment covenants.
Area of Law
employment
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