Non-compete Clauses in Contracts of Employment in Nigeria: A Critical Evaluation of the Decision in Aprofim Engineering Ltd v Bigouret Anor (2015)

Abstract

Restrictive clauses are usual clauses in contract of employment. With the increase in the level of awareness and sophistication of the Nigerian Labour market, issues of the enforcement of non-compete clauses are now being litigated as against what is obtainable before now. The state of the law appears to have settled with respect to the validity or otherwise of contracts in restraint of trade (or non competition clauses) under the common law. The Court of Appeal has seemed to have enervated this perceived settled area of law. This paper therefore, seeks to critically appraise the nullification of non-compete clauses via the instrument of Chapter II of the 1999 Constitution (as amended) as laid down in Aprofim Engineering Ltd v Bigouret[1] and to give a balanced perspective of non-compete clauses in contracts of employment.

Keywords: Contracts, restrictive covenants, non-compete clauses

[1] (2015) 52 N.L.L.R PT (173) 1 CA.