The need to serve the public
Where a business is sold, and there is a need for the public to be served by
such businesses, the court may allow a restriction that would otherwise be
void. This may be considered according to the state and breadth of the market.
Illegality 203
Mason v Provident Clothing (1913)
A trade canvasser who sold clothes to trade outlets was restrained from
working in a similar capacity within a 25 mile radius of London. This was
held to be too wide, given the nature and dense population of the area.
Fitch v Dewes (1921)
A solicitor’s clerk was prevented from working within a 7 mile radius
of Tamworth town hall. This was held to be reasonable given the nature
of the practice and the number of potential clients.
Home Counties Dairies v Skilton (1970)
The court upheld a restraint on a milkman not to sell milk to any
former customers of his former employer for sixth months.
White v Francis (1972)
A restriction was placed on a hairdresser leaving employment not to
work for 12 months within^1 / 2 mile radius of her place of employment.
Office Angels v Rainer-Thomas (1991)
This case shows that the moral is not to be too greedy. A modest
restraint, for a reason which can be justified, will be upheld, but an over
wide restraint will be held void. A restraint was placed on the defendant
who worked for an employment agency not to try to solicit custom
from anyone who had obtained work through this agency for a period
of six months after leaving her post. The company was a large one, with
34 branches, and must have had a very large database of workers and
placements. The restraint was held void, and the court said (obiter) that
if it had just concerned the limited number of clients with whom the
defendant had worked, a restraint may have been reasonable, but to
cover the whole of London was too wide.
Nordenfelt v Maxim Nordenfelt (1894)
A world-wide restraint for 25 years was upheld, given the nature of the
business of manufacturing guns and ammunitions, and the limited
number of clients. This case reached the House of Lords, where they
took the opportunity to lay down the following guidelines: