Violation of Non-Compete Agreements

In the event of a violation by an employee of a contractual non-compete clause or the general prohibition of competition, you as an employer should contact the detectives of the Aaden Detective Agency Munich: +49 89 7007 4378-0.

Prohibition or Clause? What Applies When?

The terms non-compete prohibition and non-compete clause—also commonly referred to as competition ban and competition clause—differ in their meaning. Simply explained:

• The non-compete clause prohibits an employee, after leaving the company, from working for another company in the same industry. For this clause to be effective, it must be included in the employment contract or later documented in writing as a contract amendment and signed by both the employee and the employer. It is usually applied only to employees in higher positions and/or those with access to internal company information.
• The non-compete prohibition arises automatically and does not require explicit written inclusion in the contract. It prohibits an employee, during the employment relationship, from engaging in secondary employment in a company within the same industry or performing such work as a self-employed individual.

In both cases, proof is established by our detectives from Munich in nine out of ten cases through observation.

Loyal or Disloyal? How Reliable Are Your Employees?

Employees who engage in unauthorized activities usually act very cleverly, which is why employers often do not initially suspect anything. The employee may work a second job after hours or on weekends, sometimes even during fraudulent sick leave, and in many cases as undeclared work. Their behavior becomes much more noticeable when they offer your customers a cheaper alternative to your services, possibly accepting cash payments without taxation, and you notice a significant decline in orders. Regardless of the situation, it is in your best interest to put an immediate stop to such practices.

Contact our competent business detectives at the Aaden Detective Agency Munich. We observe the suspect and document any secondary activities in detail and, above all, in a court-admissible manner: info@aaden-detektive-muenchen.de.

Competition Violations Often Through Undeclared Work

Violations of non-compete obligations can be found in almost every industry, but especially in skilled trades: the hairdresser who cuts hair for friends and relatives after work for cash, as well as the plumber or electrician who helps neighbors with construction projects on weekends. In doing so, the employee violates the non-compete prohibition, since without this side activity those individuals would otherwise hire their employer or another company in the industry, and additionally commits tax and social security fraud through undeclared work.