On Legal System Of Prohibition Of Business Strife

Prohibition of Business Strife(POBS)is an important legal system to coordinate and balance the interests between the business parties ,furthero obstruct the unruly competition in the market.This paper discusses the prohibition in accordance with the law or the agreement of two parties.The so-called special relationship between two partis includes appointed relations, employment relations, agency relations and the transferrence of business relations,such as China's Law on directors and managers'prohibition of business strife, labor laws on employees'obligation,not to disclose employers'commercial secrets.The basic classification of POBS is statutory prohibition of business strife and promissory prohibition of business strife: Directly from the legal obligations of is the former, while the latter is from contractual agreement. POBS'theoretical basis are economic "agency costs" theories and legal obligations from the principle of good faith . Labor relations'uniqueness limits the principle of private autonomy in promissory prohibition of business strife. Prohibition is a value system and an effective means of protecting commercial secrets; Second,it is a conducive way of maintaining market competition ; Third,it is necessary to maintain orderly competition.As the regulation of common law countries, it exists in a number of precedents. Comparing with the common law countries, civil law countries its form is the statutory system.The relevant statutory legislation in our country is contained in the "Company Law", "Partnership Law" and other legal documents. Promissory prohibition of business strife is the administrative regulations and local laws and relative laws of the state is being developed now.Statutory obligations should be extended to the company's board of supervisors. The main statutory obligation should include prohibition at work and after deptaure ,and not the disclosure of secrets. Statutory obligations should be taken relative form and the obligations will be able to remove by certain procedures.Promissory prohibition system has been recognized in most countries . Promissory prohibition of business strife has the necessary time and space.The main responsibility for the violation of obligations is civil, administrative and criminal responsibility.Prohibition of surviving in China's legislation is inadequacte.Statutory prohibition : 1,certain economic areas there isn't seen;2,the legislature is not unified and even contradictory , the main provisions of Prohibition of Business Strife are inconsistent;3,as to the legal protectionis ,criminal legislation for different ownership enterprises is inqual;4,the legislature is too simple. Second, Promissory prohibition of business strife:1,the relevant legislation is not uniform and senior legislative is short;2,its practical application is rough and a lot of "window-dressing agreement"exists. Finally, here is the proposals to improve our system of Prohibition laws . First, it is necessary to establish systems, equality and the balance of interests and reasonable restrictions on the principle of legislation. On statutory prohibition, the specific legal requirements are concerned:1,improving provisions concerning the statutory obligations of the directors, managers (factory directors), and partnership enterprises equivalent to managers or directors ,and the directors having opportunities to clean the slat; 2,perfecting Company Law concerning the statutory prohibition of business strife obligations:to suitably relax forbidding liabilities of directors, to require directors'ratification procedure and disclosure obligations;3,to increase statutory prohibition of business strife obligations after his dimission;4,Company Law prohibition of the civil liability system should be improved.In violation of the prohibition directors and managers should be responsible for damages to the company. On the Promissory prohibition of business strife: 1,the reasonable limit to restrict the on employees should be specific and should not cover all employees;2,the required employees'business scope of the ways and means of not engaging in the business must be clear and not ambiguous, otherwise the agreement is void.Law should also explicitly provides that if an employer restricts the right of employees widely the agreement is void too;3,the requirements for the restricted area is to consider resigning employees in the region to compete with the business and whether it will damage employers'business secret ; 4,the time of prohibition of business strife should consider the following three factors : the commercial secrets'competitive edge in market competition, the impact on the interests of the employees and the certain period'the employment situation in our society; 5,the employees should be in payment for appropriate compensation which should be in accordance with their rights and duties .And it should be clear and be paid for separately.