Document background
The Non-Compete Agreement After Resignation is a crucial document used in German employment law contexts when a company needs to protect its legitimate business interests following an employee's departure. It becomes relevant when an employee with access to sensitive information, important client relationships, or valuable trade secrets resigns from their position. The agreement must comply with strict German legal requirements, including mandatory compensation (Karenzentsch盲digung) of at least 50% of the last contractual remuneration, a maximum duration of two years, and reasonable geographical and professional scope limitations. This document is particularly important in highly competitive industries or for positions involving access to confidential information, and must balance the employer's protection needs with the employee's constitutional right to freely choose their occupation under German law.
