The limitation of a non-competition clause
Court of Almelo, preliminary relief judge
A former franchisee has a non-compete clause in his franchise agreement, which prohibits him from entering into a partnership with a party competing with the franchisor during and for two years after the termination of the franchise agreement. Apparently, the ex-franchisee intends to become an employee of such a competitor, because he asks the court to prohibit the franchisor from implementing the non-compete clause. The court takes a very formal approach and states that, partly in view of the termination of the franchise agreement, only the former franchisee can (still) implement the non-compete clause. In the opinion of the court, imposing an injunction on the franchisor is therefore not appropriate.
Mr JH Kolenbrander – Franchise lawyer
Ludwig & Van Dam Franchise attorneys, franchise legal advice Would you like to respond? Mail to coalbrander@ludwigvandam.nl
Other messages
Franchising is on the rise: ‘There is still a huge amount of room for it in the Netherlands’
An interview with mr. AW Dolphijn about franchise. De Beren, ...
The franchise agreement without (heavy demands on) know-how
In the 2023-1 edition of Contracting magazine, I published a ...
Standstill period violation
On 15 March 2023, the District Court of Noord-Holland, ECLI:NL:RBNHO:2023:2636, ...
Violation post prohibition of competition, no fine!
The District Court of Zeeland-West-Brabant ruled on 15 March 2023, ...
Termination of the franchise agreement due to the introduction of the Franchise Act
On 28 February 2023, the Court of Appeal of 's-Hertogenbosch, ...
The penalty clause in the franchise agreement
They appear in almost every franchise agreement: penalty clauses. ...