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Federal Act
on the Amendment of the Swiss Civil Code
(Part Five: The Code of Obligations)

English is not an official language of the Swiss Confederation. This translation is provided for information purposes only and has no legal force.

of 30 March 1911 (Status as of 1 January 2022)

Art. 340

VII. Pro­hib­i­tion of com­pet­i­tion

1. Re­quire­ments

 

1 An em­ploy­ee with ca­pa­city to act may give the em­ploy­er a writ­ten un­der­tak­ing to re­frain from en­ga­ging in any activ­ity that com­petes with the em­ploy­er once the em­ploy­ment re­la­tion­ship has ended and in par­tic­u­lar to re­frain from run­ning a rival busi­ness for his own ac­count or from work­ing for or par­ti­cip­at­ing in such a busi­ness.

2 The pro­hib­i­tion of com­pet­i­tion is bind­ing only where the em­ploy­ment re­la­tion­ship al­lows the em­ploy­ee to have know­ledge of the em­ploy­er’s cli­en­tele or man­u­fac­tur­ing and trade secrets and where the use of such know­ledge might cause the em­ploy­er sub­stan­tial harm.