{"id":34356,"date":"2026-10-05T05:00:49","date_gmt":"2026-10-05T04:00:49","guid":{"rendered":"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/"},"modified":"2026-10-05T05:01:02","modified_gmt":"2026-10-05T04:01:02","slug":"franchise-restrictive-covenants","status":"publish","type":"post","link":"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/","title":{"rendered":"Make restrictive covenants enforceable in UK franchising after Dwyer"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_88 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #101010;color:#101010\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #101010;color:#101010\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#what-franchise-restrictive-covenants-cover\" >What franchise restrictive covenants cover<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#how-courts-decide-if-a-covenant-is-reasonable\" >How courts decide if a covenant is reasonable<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#dwyer-pirtek-and-the-competition-act-safe-harbour\" >Dwyer, Pirtek and the Competition Act safe harbour<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#drafting-and-recruitment-steps-that-improve-enforceability\" >Drafting and recruitment steps that improve enforceability<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#a-checklist-for-franchisors-and-franchisees-right-now\" >A checklist for franchisors and franchisees right now<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#how-we-help-you-navigate-franchise-opportunities\" >How we help you navigate franchise opportunities<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#faq\" >FAQ<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#what-is-the-12-year-rule-for-restrictive-covenants\" >What is the 12 year rule for restrictive covenants?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#how-enforceable-are-restrictive-covenants-in-the-uk\" >How enforceable are restrictive covenants in the UK?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#can-a-company-legally-stop-you-from-working-for-a-competitor\" >Can a company legally stop you from working for a competitor?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#is-a-franchise-agreement-legally-binding\" >Is a franchise agreement legally binding?<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"#\" data-href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-restrictive-covenants\/#sources\" >Sources<\/a><\/li><\/ul><\/nav><\/div>\n<span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading Time: <\/span> <span class=\"rt-time\"> 5<\/span> <span class=\"rt-label rt-postfix\">minutes<\/span><\/span><\/p>\n<p>Franchise restrictive covenants are enforceable in the UK only when they protect a genuine business interest and go no further than necessary: the starting legal presumption treats them as a restraint of trade, and the Competition Act\u2019s VABEO safe harbour only covers a 1-year, premises-limited non-compete. Blanket 12-month terms are no longer a safe default after <a href=\"https:\/\/mansfield.bailii.org\/ew\/cases\/EWCA\/Civ\/2022\/889.pdf\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Dwyer (UK Franchising) Ltd v Fredbar Ltd<\/a>. The practical message: tailor every clause to the franchisee\u2019s actual footprint rather than copying a standard template.<\/p>\n<div data-blg-cta=\"after_tldr\" data-blg-cta-layout=\"strip\" style=\"margin:28px 0;font-family:-apple-system, BlinkMacSystemFont, &apos;Segoe UI&apos;, Roboto, Helvetica, Arial, sans-serif\">\n<div style=\"border-radius:26px;padding:min(14px,3.2vw);background:radial-gradient(circle at 100% 0%,#fdeed3 0 150px,rgba(255,255,255,0) 151px),radial-gradient(circle at 0% 100%,#fdeed3 0 130px,rgba(255,255,255,0) 131px),linear-gradient(180deg,#fef3e2 0%,#fef9f0 100%)\">\n<div style=\"background:#ffffff;border-radius:18px;overflow:hidden\">\n<div style=\"display:flex;flex-wrap:wrap;align-items:center;gap:16px 22px;padding:20px 24px\">\n<div style=\"flex:1 1 260px;min-width:0\">\n<div style=\"margin:0 0 8px\"><span style=\"display:inline-block;max-width:100%;border-radius:999px;padding:6px 13px;font-size:12px;font-weight:800;letter-spacing:0.1em;text-transform:uppercase;line-height:1.3;background:#f59e0b;color:#1f2937\">Franchiselocal<\/span><\/div>\n<div style=\"font-size:19px;font-weight:800;line-height:1.2;letter-spacing:-0.01em;color:#1f2937;margin:0\">Explore UK Franchise Opportunities<\/div>\n<div style=\"font-size:14px;line-height:1.5;color:#64748b;margin-top:4px\">Compare franchise opportunities by industry, investment level, lifestyle preference and location through Franchiselocal\u2019s UK directory.<\/div>\n<\/div>\n<div style=\"flex:0 0 auto\"><a href=\"https:\/\/franchiselocal.co.uk\/\" style=\"display:inline-flex;align-items:center;gap:9px;border-radius:10px;font-weight:700;font-size:15px;text-decoration:none;padding:13px 22px 13px 26px;background:#f59e0b;color:#1f2937\">Explore franchise opportunities<\/a><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<h2 id=\"what-franchise-restrictive-covenants-cover\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"what-franchise-restrictive-covenants-cover\"><\/span>What franchise restrictive covenants cover<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>A restrictive covenant in a franchise agreement limits what a franchisee can do during or after the relationship ends. Three types appear in nearly every UK franchise contract, each protecting a different interest:<\/p>\n<ul>\n<li><strong>Non-compete clauses<\/strong> stop a former franchisee trading in a similar business, usually within a set territory and time.<\/li>\n<li><strong>Non-solicitation clauses<\/strong> prevent a leaving franchisee from approaching former customers or poaching staff.<\/li>\n<li><strong>Confidentiality clauses<\/strong> protect trade secrets, operating manuals and other know-how the franchisor shares during training.<\/li>\n<\/ul>\n<p>In practice, these clauses protect goodwill built under the franchisor\u2019s brand, the customer connections a franchisee develops locally, and the operational know-how that makes the franchise system work. Drafting typically ties the non-compete to the specific territory or premises the franchisee operated from, with a post-term period commonly set at about a year or less. Our <a href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-ndas-uk\/\" target=\"_blank\" rel=\"noopener\">franchise NDAs checklist<\/a> sets out how confidentiality clauses are typically structured alongside these restraints.<\/p>\n<h2 id=\"how-courts-decide-if-a-covenant-is-reasonable\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"how-courts-decide-if-a-covenant-is-reasonable\"><\/span>How courts decide if a covenant is reasonable<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>UK courts start from the position that a restraint of trade clause is presumed unenforceable unless the franchisor proves otherwise. According to <a href=\"https:\/\/www.traverssmith.com\/knowledge\/knowledge-container\/post-termination-non-compete-clauses-in-b2b-agreements-whats-the-court-of-appeal-up-to\/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Travers Smith\u2019s analysis<\/a> of the Court of Appeal\u2019s approach, enforceability turns on whether the franchisor can show a legitimate business interest and whether the restriction goes no wider than necessary to protect it.<\/p>\n<p>Courts weigh several factors together rather than applying a fixed formula:<\/p>\n<ul>\n<li>Whether the franchisor has a genuine interest worth protecting, such as know-how, goodwill or customer connections.<\/li>\n<li>Whether duration, geographic scope and the activities restricted are proportionate to that interest.<\/li>\n<li>The parties\u2019 relative bargaining power and whether the franchisee negotiated the terms or had independent legal advice.<\/li>\n<li>Whether the clause was reasonable at the point the agreement was signed, not at the point it is enforced.<\/li>\n<\/ul>\n<p><strong>One year is treated as a loose benchmark, not a guarantee.<\/strong> Travers Smith notes that courts assess reasonableness against the specific facts at signing, including how much bargaining power each side actually had. Severance of an offending part of a clause, often called blue-pencilling, is available only in limited circumstances: if removing the unreasonable wording would change the substance of the bargain, the whole clause falls.<\/p>\n<h2 id=\"dwyer-pirtek-and-the-competition-act-safe-harbour\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"dwyer-pirtek-and-the-competition-act-safe-harbour\"><\/span>Dwyer, Pirtek and the Competition Act safe harbour<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The clearest signal on where UK law now stands came from the Court of Appeal in Dwyer (UK Franchising) Ltd v Fredbar Ltd. The case concerned a 12-month post-termination non-compete inside a 10-year franchise agreement, and the court held there is no general rule that a 12-month restriction is automatically reasonable. Enforceability depends on the facts, including the bargaining power of the parties and whether the clause reflected genuine negotiation.<\/p>\n<blockquote>\n<p>There is no settled assumption that a 12-month non-compete is reasonable in a franchise context; the position depends on the circumstances at the time the agreement was made, including the parties\u2019 bargaining strength.<\/p>\n<\/blockquote>\n<p>That contrasts with the earlier case of Pirtek (UK) Limited v Joinplace Limited, where the High Court upheld a one-year restraint confined to the franchised territory because the franchisor could point to genuine know-how and assistance given to the franchisee. The difference between the two outcomes is evidence and tailoring, not the headline duration.<\/p>\n<p>Sitting alongside the case law is the competition regime. The <a href=\"https:\/\/www.legislation.gov.uk\/uksi\/2022\/516\/article\/10\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Competition Act 1998 (Vertical Agreements Block Exemption) Order 2022<\/a>, known as VABEO, gives certain vertical restraints a safe harbour, but only narrowly. A post-term non-compete may fall within that exemption if it is limited to one year and confined strictly to the premises or land the franchisee operated from. Anything broader, wider territory, longer duration or unrelated products, sits outside the exemption and needs its own justification under ordinary restraint of trade principles.<\/p>\n<p>The rule of thumb that follows: 12 months is only safe when it is narrow, evidenced and tied to a specific premises. Anything wider needs to be justified by the actual goodwill at stake.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.franchiselocal.co.uk\/news\/wp-content\/uploads\/2026\/10\/1791000142191_Three-VABEO-safe-harbour-conditions.webp\" alt=\"Three VABEO safe harbour conditions\" title=\"\"><\/p>\n<h2 id=\"drafting-and-recruitment-steps-that-improve-enforceability\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"drafting-and-recruitment-steps-that-improve-enforceability\"><\/span>Drafting and recruitment steps that improve enforceability<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Franchisors who want covenants to survive a challenge tend to build the case for them long before any dispute arises, not after.<\/p>\n<ol>\n<li><strong>Tier duration and territory to trading history.<\/strong> Link the length and geographic scope of the restraint to how long the franchisee has traded and how much goodwill they have actually built, rather than applying one network-wide term.<\/li>\n<li><strong>Document the recruitment process.<\/strong> Keep records of projections given, negotiations held and any changes made at the franchisee\u2019s request, since this evidence shows the clause reflected a real bargain.<\/li>\n<li><strong>Encourage independent legal advice.<\/strong> A franchisee who took advice before signing is far harder to argue was unfairly disadvantaged by a covenant\u2019s terms.<\/li>\n<li><strong>Keep non-solicitation and confidentiality clauses narrow.<\/strong> Draft them to protect the specific customer lists or know-how at stake rather than every conceivable commercial activity.<\/li>\n<li><strong>Do not rely on severance as a safety net.<\/strong> Draft each clause so it can stand on its own; courts in <a href=\"https:\/\/www.mayerbrown.com\/en\/insights\/publications\/2024\/07\/restrictive-covenants-uk\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Mayer Brown\u2019s review<\/a> are reluctant to blue-pencil overly broad wording, and a badly drafted clause can be struck out entirely.<\/li>\n<li><strong>Assemble enforcement evidence early.<\/strong> Training records, customer lists and territorial sales data demonstrate the goodwill the covenant is meant to protect, and are far easier to gather before a dispute than during one.<\/li>\n<\/ol>\n<p><strong>Pro Tip:<\/strong> <em>Treat every covenant as something you may one day need to defend in court: if you cannot point to the evidence that justifies it today, it probably will not survive a challenge later.<\/em><\/p>\n<p>Our guide to <a href=\"https:\/\/www.franchiselocal.co.uk\/news\/how-to-prepare-franchise-disclosure-uk-guide-2026\/\" target=\"_blank\" rel=\"noopener\">preparing franchise disclosure<\/a> covers how to document recruitment conversations in a way that supports this kind of evidence trail.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.franchiselocal.co.uk\/news\/wp-content\/uploads\/2026\/10\/1791000155149_Recruitment-conversations-forming-evidence-trail.webp\" alt=\"Recruitment conversations forming evidence trail\" title=\"\"><\/p>\n<h2 id=\"a-checklist-for-franchisors-and-franchisees-right-now\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"a-checklist-for-franchisors-and-franchisees-right-now\"><\/span>A checklist for franchisors and franchisees right now<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Before relying on any existing covenant, or drafting a new one, it is worth working through a short set of checks.<\/p>\n<ul>\n<li>Map each clause against the franchisee\u2019s actual trading footprint, not a generic network-wide template.<\/li>\n<li>Reconsider duration and geography: 6 months, a tiered structure, or site-specific drafting often stand up better than a blanket 12 months.<\/li>\n<li>Record the bargaining history and confirm the franchisee had the chance to take independent legal advice.<\/li>\n<li>Benchmark drafting against the <a href=\"https:\/\/www.thebfa.org\/wp-content\/uploads\/The-Code-of-Ethics-for-Franchising-2024.pdf\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">BFA Code of Ethics<\/a>, which recommends transparency and proportionate post-term restrictions.<\/li>\n<\/ul>\n<table>\n<thead>\n<tr>\n<th>Action<\/th>\n<th>Why it matters<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Tailor duration to trading history<\/td>\n<td>Courts assess reasonableness at signing, not generically<\/td>\n<\/tr>\n<tr>\n<td>Limit non-competes to the specific premises<\/td>\n<td>Keeps the clause within the VABEO safe harbour<\/td>\n<\/tr>\n<tr>\n<td>Keep recruitment and advice records<\/td>\n<td>Evidence of fair bargaining supports enforceability<\/td>\n<\/tr>\n<tr>\n<td>Benchmark against BFA Code of Ethics<\/td>\n<td>Recognised industry standard for proportionate terms<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Our overview of <a href=\"https:\/\/www.franchiselocal.co.uk\/news\/franchise-regulation-uk\/\" target=\"_blank\" rel=\"noopener\">franchise regulation in the UK<\/a> sets out how the BFA Code fits alongside statutory obligations for franchisors.<\/p>\n<h2 id=\"how-we-help-you-navigate-franchise-opportunities\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"how-we-help-you-navigate-franchise-opportunities\"><\/span>How we help you navigate franchise opportunities<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Finding the right franchise, or the right franchisee, starts with clear information, and that is what our directory is built around. There are directories listing UK franchise opportunities across industries and investment levels, with filters for price, lifestyle and location, so you can compare options against what actually matters to you rather than wading through generic listings. Franchisors may use platforms that help them reach entrepreneurs who are actively searching, not cold prospects.<\/p>\n<p>If you are weighing up a franchise purchase, start with our <a href=\"https:\/\/www.franchiselocal.co.uk\/trending\/\" target=\"_blank\" rel=\"noopener\">trending franchise opportunities<\/a> to see what is attracting buyers right now. If you are a franchisor preparing agreements and want a clearer sense of how your sector approaches recruitment and documentation, our <a href=\"https:\/\/www.franchiselocal.co.uk\/ultimate-guide-to-franchising\/\" target=\"_blank\" rel=\"noopener\">complete guide to franchising<\/a> covers the practical steps from first enquiry through to signed agreement.<\/p>\n<p>This article is general information, not a substitute for advice from a qualified lawyer. Consult a qualified legal professional about your own circumstances before acting on anything here.<\/p>\n<h2 id=\"faq\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"faq\"><\/span>FAQ<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3 id=\"what-is-the-12-year-rule-for-restrictive-covenants\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"what-is-the-12-year-rule-for-restrictive-covenants\"><\/span>What is the 12 year rule for restrictive covenants?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>There is no general \u201c12 year rule\u201d for restrictive covenants in UK franchise law; this is sometimes confused with limitation periods for separate legal claims. What matters for a franchise covenant is whether its duration and scope are reasonable and necessary at the time the agreement was signed, as set out in Dwyer.<\/p>\n<h3 id=\"how-enforceable-are-restrictive-covenants-in-the-uk\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"how-enforceable-are-restrictive-covenants-in-the-uk\"><\/span>How enforceable are restrictive covenants in the UK?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Restrictive covenants are enforceable only when the franchisor can show a legitimate business interest and the restriction is no wider than necessary in duration, geography and scope. Since Dwyer, a standard 12-month non-compete is not automatically treated as reasonable, and each clause is judged on its own facts.<\/p>\n<h3 id=\"can-a-company-legally-stop-you-from-working-for-a-competitor\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"can-a-company-legally-stop-you-from-working-for-a-competitor\"><\/span>Can a company legally stop you from working for a competitor?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>A franchisor can restrict a former franchisee from competing only through a clause that passes the restraint of trade test: it must protect a genuine interest and be proportionate in scope. A restriction that goes beyond the premises or territory the franchisee operated from may also fall outside the VABEO safe harbour, making it harder to defend.<\/p>\n<h3 id=\"is-a-franchise-agreement-legally-binding\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"is-a-franchise-agreement-legally-binding\"><\/span>Is a franchise agreement legally binding?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Yes, a franchise agreement is a legally binding contract once both parties sign it, and most of its terms are enforceable in the usual way. Restrictive covenants within it are the exception that courts scrutinise more closely, since they restrain trade and must meet the reasonableness test rather than being automatically upheld.<\/p>\n<h2 id=\"sources\" tabindex=\"-1\"><span class=\"ez-toc-section\" id=\"sources\"><\/span>Sources<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><a href=\"https:\/\/mansfield.bailii.org\/ew\/cases\/EWCA\/Civ\/2022\/889.pdf\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Dwyer (UK Franchising) Ltd v Fredbar Ltd &amp; Anor 2022 EWCA Civ 889 \u2014 Bailii<\/a><\/li>\n<li><a href=\"https:\/\/www.legislation.gov.uk\/uksi\/2022\/516\/article\/10\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Legislation<\/a><\/li>\n<li><a href=\"https:\/\/www.traverssmith.com\/knowledge\/knowledge-container\/post-termination-non-compete-clauses-in-b2b-agreements-whats-the-court-of-appeal-up-to\/\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Post-termination non-compete clauses in B2B agreements \u2013 what\u2019s the Court of Appeal up to? \u2014 Travers Smith<\/a><\/li>\n<li><a href=\"https:\/\/www.thebfa.org\/wp-content\/uploads\/The-Code-of-Ethics-for-Franchising-2024.pdf\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">The Code of Ethics for Franchising \u2014 British Franchise Association (2024)<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>UK\u2011focused explainer on when franchise restrictive covenants survive after Dwyer, with practical drafting steps, a review checklist and BFA\/VABEO signposts.<\/p>\n","protected":false},"author":8,"featured_media":34357,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[29],"tags":[],"class_list":["post-34356","post","type-post","status-publish","format-standard","has-post-thumbnail","category-tips-advice"],"acf":[],"jetpack_featured_media_url":"https:\/\/www.franchiselocal.co.uk\/news\/wp-content\/uploads\/2026\/10\/1791000152750_Solicitor-reviewing-franchise-covenant-agreement.webp","_links":{"self":[{"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/posts\/34356","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/comments?post=34356"}],"version-history":[{"count":1,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/posts\/34356\/revisions"}],"predecessor-version":[{"id":34360,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/posts\/34356\/revisions\/34360"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/media\/34357"}],"wp:attachment":[{"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/media?parent=34356"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/categories?post=34356"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.franchiselocal.co.uk\/news\/wp-json\/wp\/v2\/tags?post=34356"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}