Restriction of Competition After Termination of Employment Relationships

Abstract

The article analyses a legal instrument of restriction on competition after termination of employment relationships. The Labour Law of the Republic of Latvia (hereinafter – Labour Law) governs the restriction on professional activity under Articles 84 and 85. The article views the goal of restriction on competition, agreement forms, validity preconditions, including notions of professional activity and adequate compensation, term of restrictions, applicability preconditions, legal framework of responsibility where the restriction has been violated and reinforcements of liability. The article also outlines parties’ rights to unilateral withdrawal from an agreement to restrict competition. with the applied research methods include analytic method (by analysing the legislation and case law), comparative method (comparing regulation of competition restriction in different Member States of the European Union), and an insight was provided into development of regulation of restriction on competition by virtue of historical method.

Keywords

• restriction on competition
• non-competition clause
• employment relationships
• employer
• employee
• termination of employment relationships