Prohibition of competition – statutory prohibition of competitive activity
As an employer you certainly don’t pay your employee so that he acts like your competition in his free time and thereby causes damage.
If you suspect that your employee violated the statutory prohibition of competitive activity, we perform queries on the matter and obtain evidence of the violation.
Prohibition of competition or the statutory prohibition of competitive activity (Article 39 of the Labor Relations Act-1) protects the employer against the employee, so that during the employment relationship he can’t carry out work nor conclude business covered by the activity which is actually carried out by the employer and might represent competition to the employer. This is a protection of essential elements of the employment relationship, therefore, loyalty and prohibition of damage to the interests of the employer.
Prohibition of competition – contractual prohibition of competitive activity
If you suspect that your former employee violated the contractual prohibition of competitive activity, we perform queries on the matter and obtain evidence of the violation.
Prohibition of competition or the contractual prohibition of competitive activity (Article 40 of the Labor Relations Act-1) may be agreed with the purpose, that the employer after the termination of the employment relationship protects himself, so that the former employee can’t exploit technical, production or business knowledge and business links, that he gained during the employment relationship, for performing activities which represent competition for the employer. Prohibition of competition must be laid down in writing (usually in the employment contract).
