Non-compete agreement termination requires written form; employer cannot unilaterally void it based on changed risk assessment.
Legislator summary
AI generatedThe Supreme Court quashed the lower court's judgment regarding the termination of a non-compete agreement due to procedural and substantive errors. The employer argued the agreement ended because the employee's potential harm ceased, but the court held that such a change in risk does not equate to the cessation of the agreement's legal basis under Article 1012 of the Civil Code. Furthermore, the court found the employer's unilateral termination claim invalid because it lacked the mandatory written form required by Article 1013 of the Civil Code.
Legislator headnote
AI generatedArt. 1012 § 1 k.c.; Art. 1013 k.c.: A non-compete agreement cannot be unilaterally terminated by the employer based on a change in risk assessment, and any modification or termination requires strict adherence to the written form mandated by law.