Non-compete clause

According to a decision of the Tenth Senate of September 26, 2007 (- 10 AZR 511/06 -), the non-competition clause regulated in Sections 60 and 61 of the German Commercial Code (HGB) applies to all employees during the employment relationship. Section 60 of the German Commercial Code (HGB) specifies a general legal idea that is based on the employee’s duty of loyalty. The non-competition clause during the employment relationship not only protects employers who operate a commercial business. It therefore also applies in principle to the freelance professions.

Such employers can, in analogous application of Section 61 Para. 1 HGB to assert the claims to which a principal is entitled in the event of an infringement of competition law by the agent. The three-month limitation period in Section 61 Paragraph applies to the limitation period for claims. 2 HGB. Zum nachvertraglichen Wettbewerbsverbot hat der Sechste Senat mit Urteil vom 25. Oktober 2007 (- 6 AZR 662/06 -) entschieden, dass der Verzicht des Arbeit- gebers auf ein nachverträgliches Wettbewerbsverbot nach § 75a HGB bewirkt, dass zwar die Verpflichtung des Arbeitnehmers zur Unterlassung von Wettbewerb für die Zeit nach der Beendigung des Arbeitsverhältnisses sofort endet, der Arbeitgeber aber noch für die Dauer eines Jahres zur Zahlung der Karenzentschädigung verpflichtet bleibt. In the event of a waiver in accordance with Section 75a of the German Commercial Code (HGB), the claim to compensation therefore exists even if the employee carries out a competitive activity within the one-year period following termination of the employment relationship. However, the obligation to pay compensation only exists for the period after the termination of the employment relationship.