Labour and employment boutique Baohua Law Firm has etched itself a formidable niche in the Shanghai legal landscape with its concentration on handling contentious work arising from employment issues. Clients seek the firm for its services in labour disputes including regulatory, contracts and investigation matters. Runqing (John) Dong and Jay Chen are key contacts for labour and employment issues.
In a notable labour dispute, the firm advised a prominent medical enterprise on enforcing non-compete agreements in a Rmb5 million labour dispute against former employees who joined competitors. The team led by partner Dong successfully proved competitive relationship between companies and employee violations despite evidentiary challenges in establishing breach of confidentiality obligations. The second instance court's ruling upholding the non-compete penalties and compensation repayment set a significant precedent for Chinese employers, particularly in addressing the common challenge of proving violations in cases where employees deliberately conceal their competitive activities. The case provides valuable guidance on evidence collection methods and interpretation of competitive relationships in China's medical sector, strengthening employers' ability to protect trade secrets and enforce post-employment restrictions.