Competition Law in Spain

Competition Law in Spain sustains fair competition amongst companies operating on the Spanish market. The legislation prescribes the manner in which businesses in Spain may conduct fair competition on the free market and it prescribes which procedures are forbbiden amongst companies. It also verifies any agreements established between companies that may prevent good competition behaviour. Our team of Spanish lawyers can offer legal assistance on the regulations concerning legal entities, as well as on the procedures regarding specific employees of a company. 

 

 

The Spanish legislation allows companies operating here to impose specific clauses on competition, which are applicable to specific employees. They are usually enforced to employees working as senior managers, who may be required not to work for other competitors once the employment contract is terminated. 

 

Such clauses are allowed in Spain, but there are certain limitations in this sense. The company has to provide a set of legitimate reasons to validate these clauses and, more importantly, the respective employee has to receive an economic compensation. Our team of lawyers in Spain can offer legal assistance on the rights and obligations available in this case. 

 

The duration in which the respective employee is prohibited to work with a competitor varies depending on the type of job the person had in the company. Thus, a regular employee, working in the executive structure of the company, will be required to follow this regulation for a period of six months. In the case of upper-management jobs, the requirements can be imposed for a period of two years (for managers or technicians, for example). 

 

In the situation in which a party (natural person or legal entity) breached a regulation concerning competition procedures in Spain, the other party can bring the claim in front of a court, as prescribed by the Article 1 and Article 2 of the Spanish Competition Act 2007. 

 

Businessmen are invited to contact our law firm in Spain for legal assistance on the competition law applicable in this country.