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Post-Employment Restraint of Trade — Reasonableness Standard
Former Senior Employee v Former Employer
Composite summary — not a single reported case. This entry distils a settled line of Thai Supreme Court (Dika / ฎีกา) authority for legal education. It is not a transcript of one reported judgment, and the heading is not a citable case number. Do not cite it as specific case law — consult a Thai-qualified lawyer for the authoritative Dika number and current application.
Facts
Former employer sued for breach of 2-year industry-wide non-compete; employee argued unreasonable scope.
Legal Issue
Whether the non-compete is enforceable under CCC §150 and the Unfair Contract Terms Act.
Holding
Supreme Court line applies a reasonableness test on scope, duration, geography, and consideration; overbroad clauses are unenforceable rather than read down.
Reasoning
CCC §150 (good morals) and Unfair Contract Terms Act B.E. 2540 constrain post-employment restraints; courts protect employee mobility while respecting legitimate employer interests.
Significance
Sets the contours of enforceable Thai non-compete clauses.
Practical Takeaway
Tailor non-competes to specific business / role / 6-24 months / clear consideration; blanket clauses fail.
Cited Statutes
- Civil and Commercial Code §150
- Unfair Contract Terms Act B.E. 2540
This entry summarises a representative line of authority from the Thai Supreme Court (ฎีกา). It is intended for general legal education only and is not a substitute for advice from a Thai-qualified lawyer. Individual Dika case numbers are being verified against primary sources; until then these entries are presented as composite doctrinal summaries.
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