Non Compete Agreement Italy

More specifically, after the termination of the employment relationship, the worker may freely carry out his activity using his experience acquired in the same field and in the same geographical area as the employer. The obligation not to compete after the dismissal may be agreed by the parties as the subject of a clause that was initially included in the employment contract or as a specific obligation that was subsequently agreed during the employment relationship. The non-competition agreement must be proved in writing. Italian law does not require that the non-competition contract be included in the distribution contract, since the parties could also agree on this clause later. In recent years, the Italian Supreme Court has delivered two important judgments (Cass. No. 12127 of 11 June 2015 and No. 13796 of 31 May 2017), excluding the incriminateness of the agent`s post-contractual agreement. This is the written agreement by which a worker undertakes not to carry out any activity in competition with the employer after the employment relationship. In the distribution contract, the supplier and the distributor may agree on a non-competition clause (or non-competition agreement) governing the distributor`s activity during and after the termination of the contract. By accepting the non-competition clause, the distributor undertakes not to carry out similar activity in favour of other suppliers during the term of the contract and after the termination of the contract. As a contractual obligation, a declaration of competition by the parties may be terminated, unless the unilateral resignation of the employer was originally agreed (in this case, this right can only be exercised before the termination of the employment relationship).

The competition rules are effective only during the employment relationship and end after the termination of the employment relationship, unless the parties have signed a competition agreement in which it is agreed to extend the duty of loyalty of the former worker. The non-competition clause applies only if it is limited to a given area or activity, but may not exceed five years. If the duration of the non-competition is not fixed or fixed for a period exceeding five years, the agreement shall be valid for a period of five years. Article 2125 of the Italian Civil Code provides that such agreements must not last more than three years (five in the case of managers), that they must be in writing, indicate precisely which competitive activities are prohibited and where they are prohibited and, finally, provide for compensation, which limits the flexibility of workers to use their own professional skills. In addition, in the event of infringement of the non-competition agreement, the former employer may initiate a so-called `emergency` procedure under the Italian Code of Civil Procedure, in order to obtain an injunction to prevent the worker from carrying out, for the benefit of his competitor, the same activities as those carried out for the former employer. In addition, it can be argued that the Directive does not provide for compensation for post-contractual non-competition. . . .