Christopher Walter, Helena Milner-Smith, Louise Freeman, Dan Cooper, Mark Young, and Mark Welch of Covington and Burling write, in part:
Travel Counsellors Ltd v Trailfinders Ltd [2021] EWCA is an important case that explores the circumstances creating a duty on a new employer to protect confidential information belonging to the previous employer. An equitable duty of confidence arises if a recipient of information knows or ought to have known that it is confidential.
Several employees left Trailfinders in order to engage with Travel Counsellors Ltd (“TCL”) as franchisees. They were encouraged to bring customer contacts with them, and accordingly took various steps to access Trailfinders’ proprietary databases in order to compile relevant customer information that they might use for their own benefit, and for the benefit of TCL.
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