What In-House Counsel Should Know About ‘Garden Leave’ Clauses

Long a staple of U.K. employment agreements, garden leave clauses are emerging as a more common tool for American businesses to minimize harm caused when employees defect to competitors. These clauses require lengthy advance notice of resignation, prohibit certain competitive conduct during the notice period, and specify that the employee will be sent home but still get paid during the notice period. Attorney Christopher P. Stief offers information to get in-house counsel up to speed on this development.