NEWSLETTER-2017

278 NEWSLETTER 2017 445/2 of the TCO and sustain the agreement, if alleging the nullity of the non-competition agreement constitutes an abuse of right. Conclusion In conclusion, in the event that the labor agreement that is sub- ject to the dispute is terminated during the term of the TCO, much of the Court of Cassation’s decision regarding the limitation of the non-competition clause accepts that Article 445/2 shall be applicable, and that the judges may use their discretion in cases where there is an extensive limitation, or where there is no limitation in the agreement. In these decisions, whereas the Court of Cassation leans upon vari- ous reasoning, generally, the Court considers the conditions of each case, and acknowledges the discretion of the judge to limit the non- competition clause in the event that the employee starts working in the same district as the employer, in its operation field, and under the same title. Nevertheless, there is also a Court of Cassation decision in which the Court ignored the judge’s authority to adapt the non-competition clause that contains extensive limitations, and held that the extensive non-competition clause is rendered invalid as it breaches the liberty of labor, as is protected under the Constitution. On the other hand, the Court of Cassation has established case-law determining that in the event that the agreement is terminated during term of Code of Obliga- tions numbered 818, the judge may not sustain the non-competition agreement that is not in conformity with the legal limitations, and that the related contractual provision shall be deemed invalid.