Is The Restraint Of Trade Clause In My Agency Agreement Enforceable?

• Jurisdiction: European Union
• Author: Myerson Solicitors LLP
• Law Firm: Myerson Solicitors LLP
• Published date: 09 May 2023

Since the introduction of the Commercial Agents (Council Directive) Regulations ('the Regulations') in 1993, commercial agents have long since benefitted from an extra layer of statutory protection than those afforded to employees.

The Regulations were introduced to ensure that the law of agency in the UK was aligned with other EU Member States.

Since the UK's departure from the Common Market, the Regulations continue to have effect in the UK as retained EU law.

The Regulations provide a statutory framework for any agreement between a principal and its commercial agent. They confer duties upon both principals and agents.

They also allow agents to receive compensation (on either the 'compensation' or 'indemnity' basis) on termination of the agency agreement, save in certain circumstances.

As...