Someone's talking to me about it, but have no idea wha a retsraint of trade is...!
2006-11-09 02:10:31 · 4 answers · asked by littleone 1 in Business & Finance ➔ Other - Business & Finance
Taken literally, a restraint of trade implies an act of physical force intended to prevent an individual or business from engaging in commerce. Under the antitrust laws, however, a restraint of trade usually involves voluntary actions that a court or regulator deems "unfair" to a competitor or customer. For example, if there are three companies offering a particular product, and all three agree to coordinate their pricing policies (i.e., they won't charge less than a certain price), that would be considered an illegal restraint of trade called "price fixing." Similarly, if two of the three companies attempted to merge, the government might block the combination because it would reduce the number of competitors from three to two. In both cases, the antitrust laws deem the companies' conduct unfair to customers.
2006-11-09 02:12:45 · answer #1 · answered by richard_beckham2001 7 · 0⤊ 0⤋
An employer may insert a clause into your contract of employment that prevents you, or sets some limits on you, working for a competitor.
A general ban would not stand up as the courts would find this to be a restraint on trade - which is a general legal principle used to stop attempts to stifle competition.
However specific restrictions - known as restrictive covenants - may be allowed if they are reasonable to protect the former employer's legitimate business interests.
2006-11-09 10:15:03 · answer #2 · answered by mcfifi 6 · 1⤊ 0⤋
If your talking in terms of international trade, they're talking about embargo's, subsidies etc, some countries deliberately make it difficult for other countries to trade by applying quantity and quality restrictions along with various other restraints to do with red tape, ie how long goods must stay in customs depot's etc. If your looking for more info why not google 'Banana war'.
You'll get lots of info and probably quite irate if you have similar morals to me
2006-11-09 10:30:38 · answer #3 · answered by Phion 3 · 0⤊ 0⤋
restraint is holdig back being held for any reason goods being tie down depending in the market or rules of the governing body
2006-11-09 10:17:57 · answer #4 · answered by the game 1 · 0⤊ 0⤋