PART ONE Control over client relationships has long been a battleground within the securities industry. Firms have increasingly sought to exercise control over any and all information regarding securities clients and their accounts. The utilization of restrictive employment agreements between…

PART FIVE Plan Ahead and Protect Your Interests Many investment professionals do not fully comprehend the dramatic impact that a restrictive covenant can have on their books of business and their careers. They often assume that because things seem great…

PART FOUR Enforcement of Restrictive Employment Provisions In conjunction with provisions regarding competition, solicitation, and confidentiality, most restrictive employment agreements will include language regarding the enforcement of those provisions. Specifically, most agreements state that a representative agrees that, in the…

PART THREE Confidential or Proprietary Information Provisions Brokerage and advisory firms obtain and develop a large quantity of private and confidential information regarding their clients, products, compliance practices, and business methods. There is a great deal of regulation regarding the…

PART TWO The key distinction between a non-competition provision and a non-solicitation provision is that a “non-solicit” attaches to specific customers or individuals. While there is also a time period during which the non-solicit is in effect, such a provision…