RESTRICTIVE PRACICES : NON-COMPETITION CLAUSE – BUSINESS ASSETS - SALE – UNFAIR COMPETITION

Non-competition clause : The French Supreme Court holds that when the transferee only invokes the non-competition clause in order to recover compensation in respect of the damage resulting from its breach, the Court of Appeals is not required to examine the warranty of quiet possession (M. Y...)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. In the present case, at the time of the transfer of a business, the parties to the contract agree to insert in the deed a non-competition clause providing for a non-competition obligation for a period of three years from the date on which the purchaser takes possession of the business. As a result of operating difficulties directly related to the business of the transferor, the transferee sues the transferor for unfair competition. It seeks the award of damages and the cessation of the competitive activity. The Court of Appeal of Pau, in a decision of 7 May 2009, limits to the years 2003-2006 the period during which the assignor engaged in acts of unfair

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  • University Littoral-Cote d’Opale (Boulogne/Mer)

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Valérie Durand, Non-competition clause : The French Supreme Court holds that when the transferee only invokes the non-competition clause in order to recover compensation in respect of the damage resulting from its breach, the Court of Appeals is not required to examine the warranty of quiet possession (M. Y...), 25 March 2014, Concurrences N° 3-2014, Art. N° 67925, pp. 119-120

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