Leave Noncompete

The transferring of talented people includes twopatterns:employee's part-time job in incumbency period anddemission.Trade secrets are incorporeal property,which keepnon-visible by means of maintaining secrecy.The transferring oftalented people is the main channel for the giving away of thebusiness secrets.Because of the trade secrets' personification,it isdifficult to distinguish the trade secrets from the emploee's commonknowledge,experience and technical ability in judicial practice.As ameans of protection of the business secrets in the transferring oftalented pople,competing for job prohibition means employers forbidtheir special staffs to compete with their own enterprises in theemployees' incumbency period and their demission periodrespectively.And it regulates the legal relation between the enterprisesand agencies and their internal employees.Through the way of case study,this paper points out difficultiesmet by the enterprises of China when signing covenants not tocompete.Then from the standpoints of protecting business secret,thispaper carries out a comparison among business secret,tangible assetsand other intangible assets,and draws the conclusion that it isreasonable to protect business secrct with convent not to compete.Iflet enterprises enter into non-competition agreement with conventsnot compete.But every coin has two sides;it is the same with conventsnot compete.If let enterprises enter into non-competition agreementwith employees at will,the rights of employees will be sacrificed andthe public will have to pay the bill for enterprises.So it is necessary torestrict the use of convent not to compete.By summarizing thetheories of U.S,the author lists seven criterions to judge thereasonableness of a concent not to compete.Those criterions are thepre-condition for convent not to compete,subjects who shall bear theresponsibility in convent not to compete,scope of convent not tocomopete,time limit of convent not to compete ,geograophic scope ofconvent not to compete,compensation for employees and the form ofthe convent not to compete At last,in order to help the practice ofjudicature ,the author analyse the factors that will affect the force ofthe covenat.