Restraint of Trade in Singapore: Employment vs Sale of Business

The Singapore position on restraint of trade in the employment context was settled authoritatively by the Court of Appeal in Man Financial (S) Pte Ltd v Wong Bark Chuan David [2008] 1 SLR(R) 663 (“Man Financial”), and again affirmed by the same court in Smile Inc Dental Surgeons Pte Ltd v Lui Andrew Stewart [2012] 4 SLR 308 (“Smile Inc”). In general, all restraint of trade clauses are prima facie void unless the clause does not constitute an unreasonable restraint of trade.

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