Скачать или смотреть Non Compete Clauses Are No Longer Enforceable | Watch This Before Switching Jobs | Aditya Sharma

Non-compete clauses in Indian employment contracts have long been used to deter employees from joining rival firms after resignation. However, under Section 27 of the Indian Contract Act, 1872, such restrictions are void if they interfere with an individual’s right to practice their profession. The Delhi High Court has reaffirmed this position, holding that post-employment restrictions on competition are not legally enforceable, as they violate the fundamental right to livelihood under Article 19(1)(g) of the Constitution.

That said, this ruling does not dilute an employer’s right to protect sensitive business interests. Provisions related to intellectual property, confidential data, and client relationships — when covered under valid NDAs or specific contractual obligations — remain fully enforceable. This distinction is critical for both employers drafting contracts and employees transitioning between roles. Understanding this legal boundary helps preserve professional freedom while ensuring ethical responsibility.

© CS Aditya Sharma
________________________________________________
Like, Share, Subscribe for more! Follow me on my other social media handles-
YouTube - adityasharmacs
Instagram - mrsharma.in
Linkedin- adityasharma05993

#ytshorts #reels #noncompete #legal #contract #employment #adityasharma