The post-contractual non-competition clause prohibits the franchisee,
from operating any activity competing with that of the network after termination or expiry of the franchise agreement
This clause is very common in franchise agreements. To be valid, it must fulfill the following 4 cumulative conditions:
1. concerns products and services in competition with those covered by the franchise agreement;
2. is limited to the premises from which the franchisee operates its business during the term of the franchise agreement;
3. is essential to the protection of the know-how transmitted under the franchise agreement;
4. is limited to one year after the termination or expiry of the franchise agreement.
