In this 5th and final part of the FAQ, we will cover questions
related to restrictive covenants.
What types of restrictive covenants are allowed?
Under Danish law, an employer is entitled to enter into
restrictive covenants with its employees. An employer may opt for
either
- a non-competition clause (prohibiting the employee from
competing with the employer);
- a non-solicitation of customers' clause (prohibiting the
employee from doing any business with the employer's customers
or other business associates); or
- a combined non-competition and non-solicitation of
customers' clause.
What is the maximum term of the restrictive covenants?
The term of the restrictive covenant may be no longer than 12
months after the effective date of termination of the employment if
the employer has opted for either a) a non-competition clause or b)
a non-solicitation of customers' clause.