Non-compete clauses in employment relations – most recent judgement of Polish Supreme Court

The most recent judgment of the Supreme Court (case no. II PK 108/15) again refers, in practical terms, to the important issue of non-compete clauses set forth and then enforced during employment and after its termination.

The Supreme Court pointed to the fact that “non-competition agreements are part of a broader regulation to protect employer’s interests from employee’s actions which may involve using the knowledge gained during their employment for purposes which can harm such interests.” Therefore, besides employment relationships, such contracts also touch upon highly important problems on the market relating to the protection of information which may be a business secret or know-how. This applies especially to relationships with an employee who has access to particularly important information a disclosure of which could expose the employer to a loss.

Basic statutory provisions concerning the prohibition on competition during an employment relationship amd the prohibition on competition after the expiry of an employment relationship are included in the Act of 26 june 1974 the labour code (see text: ISAP).

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