Restraint Of Trade Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Restraint Of Trade, written in plain English, along with examples of how it is used.

What is Restraint Of Trade?

(n) Restraint Of Trade is an activity which limits the scope of trade or commerce with an intention to restrict free trade or commercial practice thereby eliminating the growth of healthy competition. For example an agreement between a seller and buyer by which seller agree not sell goods to anybody else than the buyer or his associates.