petition under Section 9 against SPAN Motels
seeking to enforce a negative covenant, contained in the
Franchise Agreement.
3.1 It is stated that under ... provide that the right of the
Lemon Tree for enforcing the negative covenant
under clause 5.25 survives and is specifically
enforceable and that irrespective
petition under Section 9 against SPAN Motels
seeking to enforce a negative covenant, contained in the
Franchise Agreement.
3.1 It is stated that under ... provide that the right of the
Lemon Tree for enforcing the negative covenant
under clause 5.25 survives and is specifically
enforceable and that irrespective
plaintiff is unconstitutional and
unenforceable. The defendant contends that negative covenants
cannot operate after the termination of employment and that any
covenant restraining competition after ... Manual, 2015.
19.6 Learned counsel for the defendant has contended that
negative covenants operating post-employment are in restraint of
trade and, therefore, void under
operate during the period of the contract. It was observed that
negative covenants operative during the period of the contract of
employment when the employee ... fall under section 27 of the Contract Act, 1872. A negative
covenant that the employee would not engage himself in a trade or
business
suit is barred by Section 41 of Specific Relief Act. The
negative covenant contained in the bond of indemnity and service ... prescribed by
Director General of Civil Aviation, Govt. of India. The negative
covenant restraining the defendant no. 1 from rendering service as pilot
bond of 10 years is extremely
unreasonable and amounts to negative covenant and as such cannot be
enforced. The same is also in violation ... contract period.
47. The plaintiff has specifically argued that Negative covenants
operative during the period of the contract of employment when the
employee is bound
which impose certain conditions
on the trade, are valid agreements and negative covenants
with positive covenants during the subsistence of a contract
would
erate during the period of the contract. Negative covenants
operative during the period of the contract of employment
when the employee is bound to serve ... fall under Section 27 of the Contract Act. A
negative covenant that the employee would not engage him-
self in a trade or business
extent void". The answer to the question as to whether negative
covenant in the appointment letter and appraisal letter is void ... crux of the judicial pronouncement on the subject is that any
negative covenant which restrains an employee from joining the
competitor of an employee after
trade can be put in an
agreement by way of a negative covenant beyond the
period of the employment of the defendant. He has further ... contra, Ld. Counsel for the plaintiff has submitted that
negative covenants restricting an employee from engaging
in employment agreement with the competitor of the
employer
