A non-compete clause is designed to protect companies from unfair competition by (former) employees who transfer to a competitor or start a competing business themselves. Yet, in practice, such a clause is frequently violated. The burden of proof is on the employer - and that is precisely where the shoe often wrings.
At Santos Recherchebureau we support companies in gathering objective and legally usable evidence in cases of (possible) violation of a non-competition agreement.
What is a non-compete agreement?
A non-compete clause is an agreement between employer and employee, set forth in the employment contract. The goal is to prevent the employee from immediately joining a competitor or engaging in competitive activities himself after leaving.
In practice, these are often functions where employees have access to strategic information, customer files or unique business processes.
When do we speak of a violation?
A violation can occur in several ways:
- The (former) employee goes directly to work for a direct competitor.
- The employee starts his own business within the same industry.
- Customers or relations of the former employer are approached.
- Confidential information or company data is used in a new work environment.
Establishing violation requires factual substantiation - suspicions are not sufficient for legal action.
📘 Case study
A logistics service provider in the Utrecht region called in Santos Recherchebureau when a former account manager, bound by a non-compete and non-solicitation clause, suddenly appeared to be active with a new player in the same market.
The employer had received signals that several regular customers were being contacted by this new company - with strikingly similar offers and prices.
Our investigators conducted discreet observations and digital surveys over several weeks. In doing so, it was determined that the former employee:
- Regularly attended the new venture's premises;
- Self supervised deliveries to former clients;
- And actively communicated with relationships that fell under his old portfolio.
The findings were recorded in a detailed observation report with supporting imagery. This report allowed the employer to prove a violation of both the non-competition and non-solicitation clauses.
The case was turned over to in-house counsel, after which a settlement was reached and further damages were prevented.
How we collect evidence
Santos Recherchebureau works for employers, attorneys and HR departments to uncover violations of non-competition agreements.
Our investigators conduct discreet and lawful investigations such as:
- Static and dynamic observations (including with camera cars)
- Digital investigations and online trace analysis
- Control of business activities on site
- Verification of customer contacts or deliveries to relations
All the evidence is recorded in a clear, legally accurate report that can be used in court proceedings or settlement negotiations.
Conclusion
A violation of a non-compete agreement can cause great financial and strategic damage. With expert support from Santos Recherchebureau, you will have the right information to act quickly and carefully.
Want to know more about investigating violation of competition or relationship clauses? Click here to contact us.
