Quilter Private Client Advisers Ltd v Falconer & Anor [2020] EWHC 3294 (QB) (04 December 2020)

Quilter Private Client Advisers Ltd v Falconer & Anor [2020] EWHC 3294 (QB) (04 December 2020)

The court found that the restrictive covenants in EF's contract were valid and enforceable, protecting legitimate business interests and reasonable in scope. EF breached her contract by retaining and using confidential information and by dealing with certain clients post-termination. However, the court found no sufficient evidence that Continuum induced EF's breaches or misused confidential information. The claim for constructive dismissal failed as EF did not establish a fundamental breach by Quilter. EF was liable to repay the guaranteed bonus as per the contract terms.

Citation
[2020] EWHC 3294
Parties
Claimant: Quilter Private Client Advisers Limited; First Defendant: Emma Falconer; Second Defendant: Continuum (Financial Services) LLP
Jurisdiction
England and Wales
Judgment Date
04 December 2020
Procedural Posture
High Court Civil Claim (queen's Bench Division) / Liability and Injunctive Relief Trial
Outcome
Claim allowed in part
Legal Topics
Enforceability of Restrictive Covenants, Breach of Contract, Constructive Dismissal, Inducement of Breach of Contract, Confidential Information Misuse
Employment Law Contract Law Restrictive Covenants Confidential Information Enforceability of Restrictive Covenants Breach of Contract Constructive Dismissal Inducement of Breach of Contract +1 more

Case Brief

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Parties

Quilter Private Client Advisers Limited

Claimant

Emma Falconer

First Defendant

Continuum (Financial Services) LLP

Second Defendant

Procedural Posture

High Court Civil Claim (queen's Bench Division) / Liability and Injunctive Relief Trial

Legal Issues

  1. 1 Whether the restrictive covenants in EF's contract with Quilter are valid and enforceable
  2. 2 Whether EF breached her contract by soliciting or dealing with clients and/or misusing confidential information
  3. 3 Whether Continuum induced EF to breach her contract or misused confidential information

Ratio Decidendi

The court found that the restrictive covenants in EF's contract were valid and enforceable, protecting legitimate business interests and reasonable in scope. EF breached her contract by retaining and using confidential information and by dealing with certain clients post-termination. However, the court found no sufficient evidence that Continuum induced EF's breaches or misused confidential information. The claim for constructive dismissal failed as EF did not establish a fundamental breach by Quilter. EF was liable to repay the guaranteed bonus as per the contract terms.

Court Disposition

Claim allowed in part

Orders

  • Declaration that restrictive covenants were valid and enforceable
  • Damages awarded to Quilter for breach of contract by EF