When employees leave: Non-compete agreements and protecting confidential information
When employees leave: Non-compete agreements and protecting confidential information Soewito Suhardiman Eddymurthy Kardono prev next Indonesia December 14 2015 Indonesian labor and employment laws do not expressly impose or regulate non-competition obligations of employees with the exception of the Chief Representative of the local representative office of an overseas principal. However, Indonesian law recognizes the principle of freedom of contract. This principle is codified in Articles 1337 and 1338 of the Indonesian Civil Code (the Civil Code). The parties to a contract are free to include any provisions they wish, subject only to the mandatory provisions of Indonesian law, as well as the general principles that contract terms must be implemented in good faith and not contrary to public order. With regard to non-competition during the period of employment, it is essential to include a provision in the employment agreement imposing a duty on th