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The exclusivity clause:what is it?

An employer can demand loyalty from its employees thanks to the exclusivity clause. This clause prevents employees from working for another company, or in their own name, to reduce the risk of competition. Is the professional exclusivity clause legal? Here's everything you need to know about it.

Definition:what is the exclusivity clause?

The exclusivity clause is a clause that can be added to an employee's employment contract. The latter then undertakes to work only for his employer for the duration of the contract. He therefore does not have the right to have a salaried activity in another company, nor to exercise an independent professional activity. Stacking of activities is prohibited! The exclusivity clause allows an employer to reduce the leakage of ideas and therefore competition.

Once he signs his employment contract, the employee must put an end to the professional activities he exercises in parallel. The professional exclusivity clause must meet certain conditions to be valid and therefore legal. Writing requires the utmost vigilance. It can be null and therefore without effect.

Exclusivity clause and principle of freedom

According to the principle of labor freedom, an employee can conclude several employment contracts at the same time. However, you should know that this freedom has limits because an employee must respect the maximum working time per day and per week. This is 10 hours a day and 48 hours a week.

According to the duty of loyalty, an employee does not have the right to compete with his employer. The latter can also add a non-competition clause to the employment contract. This clause prevents an employee from exercising equivalent functions in a competing company or as a freelancer once the contract is terminated.

The right to cumulate salaried activity can be circumvented thanks to the exclusivity clause. To obtain an exemption, a request must be made to the employer. The latter may authorize the exercise of another remunerated activity after becoming aware of its nature.

What happens if the exclusivity clause is not respected?

In the event of non-compliance with the exclusivity clause, the employee commits professional misconduct. He can be punished. Several disciplinary sanctions may apply, namely:

  • the warning,
  • the layoff,
  • dismissal for simple fault,
  • dismissal for serious misconduct.

As a reminder, we speak of serious misconduct when an employee deliberately harms his employer or the company that employs him. It should be noted that the exclusivity clause may be waived in the following cases.

  • The employee has written authorization from his employer.
  • The employee has a voluntary professional activity.
  • The employee has a part-time employment contract. In this case, the exclusivity clause is considered an attack on the constitutional principle of freedom of labour.
  • The employee creates or takes over a company. In this case, the exclusivity clause is waived for one year. This temporary waiver can last up to two years if the employee takes leave or works part-time to set up a business.

Under what conditions is an exclusivity clause legal?

The exclusivity clause must meet several conditions to be valid.

  • It must be present either in the employment contract or in an addendum. In both cases, the document must be signed by the employee.
  • It must specify the motivations of the employer.
  • It must specify the conditions of exclusivity and the limits. Most often, it is asked not to combine two jobs of the same nature.
  • It must be accepted by the employee to be valid if it is added to the employment contract.

Why put in place an exclusivity clause?

Companies sometimes have every interest in putting in place an exclusivity clause. This is the case if it is essential for the protection of the legitimate interests of the company. It may also be required if the employee performs very specific or even sensitive functions. Finally, it should be noted that the conditions of the exclusivity clause must be proportional to the nature of the function performed. If these conditions are not met, the clause is void. The employee is therefore not obliged to comply with it. Unless a specific mention is added, the exclusivity clause is applicable throughout the duration of the contract.