M&A Foundations · glossary

Restrictive covenants

The umbrella term for the seller's post-completion promises not to compete with the sold business or solicit its staff and clients. They protect the goodwill the buyer paid for — and are enforceable only if reasonably limited in scope, geography and duration. Clause 11 · Chapter 15

Explained in Chapter 15, Completion and Beyond, of M&A Foundations.

Related terms

Where this term lives

Every chapter of M&A Foundations is free to read, including the full training share purchase agreement. It is part of one complete fictional deal, with every document attached and a test after every chapter. Open M&A Foundations → · All terms A–Z →