Non-compete agreement valid after employment ends even if supervisory board resolution lacked specific terms.
Legislator summary
AI generatedThe Supreme Court dismissed the cassation appeal filed by the supervisory board against a lower court's award of damages to the former CEO. The court held that a non-compete agreement remains valid after employment termination even if the supervisory board's resolution authorizing it did not explicitly detail the agreement's terms. The court reasoned that the supervisory board chairman acted as a corporate organ rather than a civil representative, and the collegial nature of the board's decision meant individual consent was not required for the agreement's validity.
Legislator headnote
AI generatedart. 210 § 1 k.s.h.; art. 56 k.c.; art. 300 k.p.; art. 1013 k.p.; art. 99 k.c.: A non-compete agreement concluded pursuant to a supervisory board resolution remains valid after employment termination even if the resolution did not specify the agreement's content, as the chairman acts as a corporate organ.