How to Stop an Ex-Director from Competing With You

KVV Inc Attorneys

Published on: 04/03/2025

While directors owe fiduciary duties to their company, these duties change upon resignation. A director can compete with the company after leaving, unless they use confidential information or violate another protectable company interest. The Big Catch case highlights the importance of restraint of trade agreements. Without them, a company must prove a protectable interest like confidential information to prevent competition from a former director. Restraints of trade offer a simpler way to protect a company's interests.