Expert Analysis

Ontario’s non-compete ban and sale-of-business exception may not fit most deals

By Koby Smutylo ( November 6, 2026, 12:59 PM EST) -- In 2020, Dr. Michael Schecter sold his dental practice. A condition of closing was that every associate dentist sign an agreement containing a five-kilometre non-compete. One associate was his father, Dr. Ira Schecter, who had owned the practice until 2014. The father resigned in October 2021, began practising within the five kilometres and argued that Ontario’s new statutory ban on non-competes made the covenant unenforceable. Justice Mohan Sharma held that the ban applies only to agreements made on or after Oct. 25, 2021, and granted the injunction: Parekh v. Schecter, 2022 ONSC 302....