Problems of Application of Employee’s Duty not to Compete Cover Image

Darbuotojo nekonkuravimo įsipareigojimo taikymo problemos
Problems of Application of Employee’s Duty not to Compete

Author(s): Tomas Bagdanskis
Subject(s): Law, Constitution, Jurisprudence
Published by: Mykolas Romeris University
Keywords: employee; employer; non-competition; covenant not to compete; employment contract; employment relationship; civil relationship

Summary/Abstract: As there is a gap of legal regulation of covenants not to compete in Lithuania, the legal doctrine and the case-law are analyzed in this article. It is recognized in judicial practice that labour laws are not applicable for the regulation of the covenants not to compete. So, the parties, an employer and employee, are free to make agreement on non-competition. There are some suggested principles how to make parties’ agreement on non-competition. Firstly, there should be disputed an adequate compensation to the restrictions that would be made for an employee. Secondly, the restriction of competing should be precisely described, taking into account other issues, such as period of non-competing, employee’s qualification and duties, termination of agreement, etc. It is also proposed to supplement the Law on Competition of the Republic of Lithuania with the rules concerning the conclusion, execution or termination of these covenants.

  • Issue Year: 20/2013
  • Issue No: 3
  • Page Range: 1175-1194
  • Page Count: 20
  • Language: Lithuanian