I PKN 540/98
AI generated
Non-compete clause without employer compensation obligation is void due to violation of freedom of work.
Legislator summary
AI generatedThe Supreme Court dismissed the cassation appeal against a lower court ruling that voided a non-compete clause. The plaintiff argued for damages based on the clause, while the defendant contended it was invalid because it lacked a reciprocal obligation for the employer to pay compensation. The court held that before the relevant law change, such a clause was void as it unilaterally penalized the employee without guaranteeing compensation, violating freedom of work.
Legislator headnote
AI generatedArt. 10 KP; Art. 18 § 2 KP; Art. 58 § 2 KC; Art. 300 KP; Art. 393 § 12 KPC: A non-compete clause is void if it imposes a penalty on the employee without a reciprocal obligation for the employer to pay compensation, as this violates the principle of freedom of work.
Keywords
AI generated
non-compete clause validity
freedom of work principle
reciprocal compensation obligation
unilateral penalty clause
employment contract voidness
freedom of employment termination
labor law sanctions
Cited Legislation
AI generatedArt. 10 KP
Art. 18 § 2 KP
Art. 58 § 2 KC
Art. 300 KP
Art. 393 § 12 KPC