An employer may enter into a written non-compete agreement applicable after termination of employment with an employee who has access to particularly important information, the disclosure of which could expose the employer to harm.

Such an agreement specifies, in particular, the duration of the non-compete agreement and the amount of compensation due to the employee. It is also advisable to stipulate a contractual penalty in case the employee breaches its terms.

Such a provision significantly facilitates the employer's ability to recover damages through the courts. 

If a former employee violates a non-compete agreement after termination of employment, the employer may:

• require the employee to repay the compensation that they have received for complying with the non-compete clause;
• demand that the employee pay a contractual penalty (irrespective of the amount of damage suffered) as stipulated in the contract;
• claim compensation from the employee for the damage suffered, also to the extent that it exceeds the contractual penalty (if the contract so stipulates);
• require the employee to actually perform the non-compete agreement, i.e. demand obligating the employee to terminate the contract entered into with a competitor under which they undertook employment with such entity. 

Find more in the PRO HR June 2022.