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Violation of Non-competition Agreement

Non-competition agreement is a legal arrangement stipulating that employees shall not work at companies or organizations that compete with the employer, during due-diligence period after the termination of the employment contract with the employer. This is a measure to protect a company's trade secrets.  

 

Frequent employee turnover is a key feature of market economy. However, high turnover rates bring great pressure to bear on the socio-economic environment, including losses of trade secrets. Statistics show that employee turnovers lead to 70% of trade secret losses. Some experts even say that "employment turnover and trade secret protection are inextricably linked with each other, like 'twin brothers'". 

Because of the lack of relevant laws and regulations and a credit-based environment, professional managers, after terminating employment contracts with their former employers, the employers will suffer great losses. Some of them even reportedly violate professional ethics and non-competition agreement. The victims include small-and medium-sized, privately owned, domestic companies and some of the world top 500 companies.  

 

We can help companies screen the personal background and experience of their professional managers, and their work performance and credit standing when working for their former employers can be also found out too, so as to see and the performance of the non-competition clauses by their currently employed professional managers. This is to maximize the protection of the companies' legitimate rights and the fulfillment of their business goals.