Contact

Restrained from restraining: When employers lose the right to hold you back

Back to top

Restrained from restraining: When employers lose the right to hold you back

Can an employer enforce a restraint of trade after telling an employee they won't?

1 Jun 2026 13:05 Minutes Podcast
Restrained from restraining: When employers lose the right to hold you back

Restrained from restraining: When employers lose the right to hold you back

Podcast

Restrained from restraining: When employers lose the right to hold you back

Podcast

00:00 00:00
Download MP3

In SD Recruitment (Pty) Ltd v Werner Pretorius and Another, the Labour Court examined whether restraint, confidentiality, and non-solicitation undertakings could be enforced against a former employee who joined a competitor. The court considered issues of urgency, protectable interests, the role of verbal agreements waiving restraints, and whether an employee's reasons for resigning affect enforceability.

In this podcast, Jean Ewang and Ayesha Karjieker in the Employment Law practice unpack the judgment's key findings and what they mean for employers and employees navigating post-employment restrictions in South Africa.

Click here to listen to the podcast.

The information and material published on this website is provided for general purposes only and does not constitute legal advice. We make every effort to ensure that the content is updated regularly and to offer the most current and accurate information. Please consult one of our lawyers on any specific legal problem or matter. We accept no responsibility for any loss or damage, whether direct or consequential, which may arise from reliance on the information contained in these pages. Please refer to our full terms and conditions. Copyright © 2026 Cliffe Dekker Hofmeyr. All rights reserved. For permission to reproduce an article or publication, please contact us cliffedekkerhofmeyr@cdhlegal.com.

You might also be interested in

26 Jan 2026

by JJ van der Walt and Sashin Naidoo

New contractor, same business: Labour Appeal Court confirms section 197 application

On 27 November 2025, the Labour Appeal Court (LAC) delivered judgment in the matter of Electro Hydro World (Pty) Ltd v Murray and Roberts Cementation (Pty) Ltd and Others (JA132/24) ZALAC 62, concerning the application of section 197 of the Labour Relations Act 66 of 1995 (LRA) to the transfer of a grout business at a mine shaft. The central issue was: did the transfer of operations from one contractor to another, following a tender process, constitute a transfer of a business as a going concern, thereby triggering the automatic transfer ofemployees? 

Employment Law

4 min read

16 Jul 2025

by Akhona Mdunge and Denise Durand

Community oversight in corporate structures

The Traditional and Khoi-San Leadership Act 3 of 2019 (TKLA) authorises councils of traditional and Khoi-San communities (councils) to enter into agreements in their own names on behalf of the traditional communities they represent. This presents exciting opportunities for such councils to generate resources to ultimately enable employment, education and other opportunities for their traditional communities.

Corporate & Commercial Law

4 min read

15 Oct 2025

by Andrew Giliam, Jesse De Jager and Jenny Harwin

Section 48 overhauled: Simplifying buybacks, but not without hurdles

For years, section 48 of the Companies Act 71 of 2008 (Act) has been the fussy relative of corporate law, transforming a simple share buyback into a full-scale family meeting, complete with special resolutions and expert reports. The recent amendments to the Act have given section 48 a welcome refresh. However, while the section takes two steps forward, by dispensing with the dreaded section 114 and 115 procedures, it has also taken one step back as now almost every buyback requires a special resolution ofshareholders.  

Corporate & Commercial Law

5 min read

20 May 2026

by Aadil Patel, Imraan Mahomed and Chantell De Gouveia

Cap vs comeback: The new battle over reinstatement rights

Aadil Patel, Practice Head, Nadeem Mahomed, Director, and Chantell de Gouveia, Associate, in the Employment Law practice, were recently featured in SALGA – Voice of Local Government, where they discussed “Cap vs comeback: The new battle over reinstatement rights”.

Employment Law

1 min read

3 Sep 2025

by Belinda Scriba and Mukelwe Mthembu

Webinar Recording | ABC of mediation as a segue to potential arbitration

Watch this insightful webinar recording co-hosted by CDH and the Chartered Institute of Arbitrators (CIARB).

Mediation & Alternative Dispute Resolution

1:25:48 Minutes

9 Apr 2026

by Alex Kanyi and Charity Muindi

Deductibility of written off loan principal as bad debt for tax purposes

A recent decision by the Tax Appeals Tribunal (Tribunal) in Premier Credit Limited v Commissioner of Domestic Taxes KETAT 23 (KLR) has caused jaws to drop at the apparent departure from the norm that a written off principal loan amount constitutes a bad debt deductible for tax purposes in Kenya. The Tribunal, in a contentious judgment, was of the view that bad debts arising out of the principal element of a loan are not allowable expenses for tax purposes.

Tax & Exchange Control

3 min read

This website uses cookies to enhance the browsing experience. For more information, please see our Cookie Policy.

Accept Decline