Interpretation and scope of a non-competition clause in a share purchase agreement and judicial reduction of an excessive penalty

Hemett, Sid Ahmed

Scientific article

Comment

English

Interpretation and scope of a non-competition clause in a share purchase agreement and judicial reduction of an excessive penalty

ContributorsHemett, Sid Ahmed

Published inSwiss Contract Law

Publication date2025-04-17

Abstract

This Federal Supreme Court decision concerns a dispute arising from the breach of a non-competition clause in a share purchase agreement between two companies. The court confirmed the breach but upheld a reduction of the contractual penalty on the grounds that it was excessive.

NoteJudgment of the Federal Supreme Court of 24 September 2024 Case Reference : 4A_202/2024, 4A_212/2024

Affiliation entities

Citation (ISO format)

HEMETT, Sid Ahmed. Interpretation and scope of a non-competition clause in a share purchase agreement and judicial reduction of an excessive penalty. In: Swiss Contract Law, 2025.

Article (Published version)

Identifiers

PID : unige:189696

Additional URL for this publicationhttps://swisscontract.law/44/

22views

762downloads

Creation16/12/2025 08:50:07

First validation16/12/2025 08:51:58

Update16/12/2025 08:51:58

Status update16/12/2025 08:51:58

Last indexation16/12/2025 08:51:59

Archive ouverte UNIGE

Interpretation and scope of a non-competition clause in a share purchase agreement and judicial reduction of an excessive penalty

This Federal Supreme Court decision concerns a dispute arising from the breach of a non-competition clause in a share purchase agreement between two companies. The court confirmed the breach but upheld a reduction of the contractual penalty on the grounds that it was excessive.

Technical informations