Research On Non-compete System

In a competitive market environment, any company which wants to occupy a business status in the economic market must possess some practical trade secrets, such as technical information and management information, which should be unknown to the public and could bring economic profits to the company.Trade secrets includes not only documents,drawings,discs, but also talents who familiar to the business secrets. In a word, trade secrets can be transferred with ex-employee to another competitor. The trade secrets holder has no right to forbid legal transferring of talents, as people has the right of labor and the right to free choice of employment, which are signed on The Constitution.The non-compete is meticulous legal phrasing that forbids inventors or other professionals from offering their talents to an organization's competitors before a set period of time has passed.The main purpose of non-compete is to protect employers'commercial secrets in order to maintain their competitive advantages. It is an important measure to protect business secrets. Firstly,non-compete has an advantage in protecting trade secrets into which the owner of trade secrets has invested piles of assets,human power.Secondly, it is in favor of cost saving on business secrets protecting; Thirdly, non-compete is in favor of maintaining the economic order and encouraging fair competition among competitors.Meanwhile, there are conflicts between allowing non-compete and protecting workers'rights. Right to work is a fundamental right endowed by the Constitution. However, the use of non-compete unavoidably restricts the fulfillment of this fundamental right. Because of trade secrets 'personification, it is difficult to distinguish the trade secrets from the employee's commen knowledge, experience and technical ability in judicial practice. And non-compete concerned rules are prescribed dispersedly, and in principle. According to this , the author suggests that we should build a system to construst the harmonial system to realize the overall unity and harmony.Except for the instruction and conclusion,the thesis is divided into four parts:Part One is the general information about non-compete, including the legal historical background, concept of non-compete and types.The critical foundations of non-compete in labor economics and theory of law are also contained.Part Two is the jurisprudential analysis of non-compete relationship. Non-compete can be divided into statutory non-compete and contracted non-compete .there is an analysis on the subject of duties, act of non-compete legal responsibilities and defense causes of both types of non-compete. Part Three gives a general introduction on the laws,rules and local regulations of non-compete and points out their defects .Part Four is about the measures to perfect the existing system of non-compete. It is necessary to build and perfect the non-compete system,the measures includes expanding the range of subject of duties,providing elastic articles and endow judge with the power of free judgment ,enhancing the restriction on business field , territorial scope and deadline .