Infringements of competition clause

Hoffmann BV

Infringements of competition clause

Infringements of competition clause

Competition is as old as civilization itself; it is good for the economy and keeps companies on their toes. The by-products are less pleasant, however ─ for example, employees who want to switch over to one of your competitors or business relations. In such cases, you may receive a tip or you suspect that one of your employees wants to work for a rival.
 
What should you do?
The first step is to examine the employee’s employment contract or the collective labour agreement (where applicable) and check whether you agreed on anything with your employee in the employment contract and whether you have recorded any agreements in a competition or relationship clause. If there are no such agreements, the collective labour agreement may offer a way out. If not, you should draw up agreements with your employees as soon as possible.
 
The challenge in these types of investigations is to demonstrate and substantiate any anti-competition activities. It sounds easy enough, but in practice it involves investigations that require thorough preparation and a number of different disciplines, such as surveillance, background searches and forensic computer research. Such matters often involve significant interests and the financial disadvantages for you can be considerable.
 
The advantage of hiring an external party
You have your suspicions and as the claimant you must therefore produce the necessary evidence. That requires a thorough approach and it is our professional challenge to come up with the right results. Cases involving Infringements of competition clauses regularly lead to stormy emotional reactions, which is another reason why it is a good idea to ask an external party to conduct the investigation. After examining the employment contract and discussing your suspicions and the tips you have received, we draw up a comprehensive plan of action.

Flexible services
Our investigative report can be used as evidence and you can also use it in negotiations with the relevant employee or in summary proceedings. The results of our investigations can be used to draw up new agreements with the person in question or to substantiate the relevant employee’s obligation to pay damages. If new agreements are made with the employee ─ usually in court ─ we later check whether the agreements are being complied with. If there is a penalty clause, we conduct random checks to ensure that the agreements are being complied with and as proof if you wish to cash in on the penalty clause.
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