{"id":2097,"date":"2015-02-25T17:02:47","date_gmt":"2015-02-25T17:02:47","guid":{"rendered":"https:\/\/gregorydamy.niceavocats.fr\/?p=2097"},"modified":"2023-08-03T06:41:39","modified_gmt":"2023-08-03T06:41:39","slug":"the-employee-contract","status":"publish","type":"post","link":"https:\/\/gregorydamy.niceavocats.fr\/en\/the-employee-contract\/","title":{"rendered":"Employment contract and non-competition clause"},"content":{"rendered":"

[et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”4.19.5″ custom_margin=”||0px||false|false” custom_padding=”||0px||false|false” locked=”off” global_colors_info=”{}”][et_pb_row column_structure=”1_3,1_3,1_3″ _builder_version=”4.19.5″ _module_preset=”default” background_enable_mask_style=”on” background_mask_style=”wave” background_mask_color=”rgba(0,0,0,0.08)” custom_padding=”||6px|||” locked=”off” global_colors_info=”{}”][et_pb_column type=”1_3″ _builder_version=”4.19.5″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_column][et_pb_column type=”1_3″ _builder_version=”4.19.5″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_column][et_pb_column type=”1_3″ _builder_version=”4.19.5″ _module_preset=”default” global_colors_info=”{}”][et_pb_circle_counter title=”Estimated reading time (in minutes)” number=”1″ percent_sign=”off” _builder_version=”4.19.5″ _module_preset=”default” title_font=”Amiri||||||||” max_width=”137px” global_colors_info=”{}”][\/et_pb_circle_counter][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.19.5″ _module_preset=”default” custom_margin=”||0px||false|false” custom_padding=”||0px||false|false” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.19.5″ _module_preset=”default” global_colors_info=”{}”][et_pb_divider _builder_version=”4.19.5″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_divider][et_pb_image src=”https:\/\/gregorydamy.niceavocats.fr\/wp-content\/uploads\/2023\/06\/closeup-businessmen-shaking-hands-after-successful-agreement-scaled.jpg” title_text=”Congratulations, you are hired!” _builder_version=”4.21.0″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_image][\/et_pb_column][\/et_pb_row][et_pb_row admin_label=”row” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_image _builder_version=”4.21.0″ _module_preset=”default” title_text=”Congratulations, you are hired!” src=”https:\/\/gregorydamy.niceavocats.fr\/wp-content\/uploads\/2023\/06\/closeup-businessmen-shaking-hands-after-successful-agreement-scaled.jpg” hover_enabled=”0″ sticky_enabled=”0″][\/et_pb_image][et_pb_text admin_label=”Text” _builder_version=”4.21.0″ text_font=”Amiri||||||||” header_2_font=”Amiri||||||||” header_3_font=”Amiri||||||||” background_size=”initial” background_position=”top_left” background_repeat=”repeat” hover_enabled=”0″ global_colors_info=”{}” sticky_enabled=”0″]<\/p>\n

The employment contract may include a non-competition clause, prohibiting the employee, after leaving the company, from exercising a competing activity likely to harm the interests of the\u00a0\u00a0<\/span><\/span>employer\u00a0<\/span><\/span>\u00a0.<\/span><\/span><\/p>\n

Its validity is subject to the following cumulative conditions:<\/span><\/p>\n

\u2013 be essential for the preservation of the legitimate interests of the company<\/span>
\u2013 take into account the specificities of the employee’s job<\/span>
\u2013 be limited in time<\/span>
\u2013 be limited in space<\/span>
\u2013 provide for financial compensation<\/span><\/p>\n

The work contract :-<\/span><\/h2>\n

Taking effect from the termination of the employment contract, the obligation of non-competition does not expire under the effect of the cessation of activity of the company, although the risk no longer exists.<\/span><\/p>\n

The social chamber of the Court of Cassation ruled on January 21, 2015 (\u00a0<\/span>SOC. January 21, 2015, appeal no.: 13-26374<\/span><\/a>\u00a0).<\/span><\/p>\n

In this case, an employee bound by a non-competition obligation for 3 years, seized the industrial tribunal, in particular for the purpose of obtaining payment of the pecuniary consideration attached thereto.\u00a0The judicial liquidation of the company is then pronounced.<\/span><\/p>\n

The tribunal:-<\/span><\/h2>\n

The Court of Appeal dismissed the employee, considering her released from her obligation as of the cessation of activity of the company.<\/span><\/p>\n

However, the social chamber of the Court of Cassation decided otherwise, considering that:<\/span><\/span>
“the non-competition clause taking effect upon termination of the employment contract, the subsequent termination of the employer’s activity does not effect of relieving the employee of his non-competition obligation;<\/span><\/span><\/p>\n

That by ruling as she did, when the employee had not been released from her obligation by the employer and that it was therefore up to her to examine the request for payment of financial compensation on a pro rata basis of the duration of execution of the non-competition obligation, the Court of Appeal violated the said text;\u00a0\u00bb<\/span><\/p>\n

Thus, the non-competition obligation surviving the cessation of activity of the company, the employee is entitled to claim the financial compensation attached to it, even in the event of judicial liquidation after the\u00a0\u00a0<\/span>cessation\u00a0<\/span>.\u00a0<\/span><\/p>\n

DAMY LAWYERS\u00a0<\/span><\/a><\/p>\n

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The employment contract may include a non-competition clause, prohibiting the employee, after leaving the company, from exercising a competing activity likely to harm the interests of the\u00a0\u00a0employer\u00a0\u00a0. Its validity is subject to the following cumulative conditions: \u2013 be essential for the preservation of the legitimate interests of the company\u2013 take into account the specificities of […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[297,308],"tags":[],"class_list":["post-2097","post","type-post","status-publish","format-standard","hentry","category-competition-consumer-law","category-labour-law"],"yoast_head":"\nEmployment contract and non-competition clause - Soci\u00e9t\u00e9 d'avocats Damy<\/title>\n<meta name=\"description\" content=\"Employment contract and non-competition clause The employment contract may include a non-competition clause, prohibiting the employee,\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/gregorydamy.niceavocats.fr\/en\/the-employee-contract\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Employment contract and non-competition clause - 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