Supreme People's Court, Interpretation on Issues Concerning Application of the Law in the Trial of Labor Dispute Cases (1)

最高人民法院关于审理劳动争议案件适用法律问题的解释 (一)

March 05, 2021 | BY

Susan Mok

SPC clarifies on labor dispute issues over non-compete clauses

Promulgated: December 29, 2020

Effective: January 1, 2021

Main content: Where the parties have provided for non-competition and economic compensation in the employment contract or a confidentiality agreement and, at the time the parties terminate the employment contract, unless otherwise agreed, the employer requests that the worker perform his/her non-compete obligation or the worker requests that the employer pay him/her economic compensation after he/she has performed his/her non-compete obligation, the people's court shall uphold such request (article 37).

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