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Non-compete and Non Solicitation Agreement for Employment


This One Way Non-Compete & Non-Solicitation Agreement limits employee competition & solicitation. Our neutral draft ensures easy signing without negotiation.

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Document Description

A non-compete and non-solicitation agreement for employment is a legal document that restricts employees from competing with or soliciting clients or customers from their current employer. This template agreement is a unilateral non-compete and non-solicitation obligation on the employee, which is drafted in neutral form and is simple and short to procure signing without negotiation. The document is designed to protect the interests of the employer and can be applied for injunctive relief, liquidated damages, and/or profits received in the event of a breach of the agreement by the employee.

The agreement defines key terms such as "Business," "Compete," "Solicit," and "Confidential and Proprietary Information." The employee undertakes to comply with the non-compete and non-solicitation obligations of the company. The agreement restricts the employee from competing with the company's business in a specific area, soliciting customers or clients, directors, officers, employees, and consultants through any form of communication, and keeping confidential any trade secrets, business secrets, customer data, or confidential and proprietary information obtained from the company.

The agreement acknowledges that the restrictions, prohibitions, and other provisions set forth in this agreement are fair, reasonable, and equitable in its scope, terms, and duration. The employee also acknowledges that they have had the opportunity to obtain legal counsel to review the agreement. The document provides that any breach of this agreement shall entitle the company to injunctive relief, liquidated damages, and/or account and repayment of all profits realized by the employee as a result of such breach.

The obligations under this agreement will terminate after a specific period after the termination of employment with the company. The document also provides for the enforceability of the agreement and the substitution of any invalid provision with a similar enforceable term. The agreement also includes a clause that states that a person who is not a party to this agreement shall have no right under any law to enforce any of its terms.

In conclusion, this non-compete and non-solicitation agreement for employment is a comprehensive document that can protect the interests of the company by restricting employees from competing with or soliciting clients or customers from their current employer. The document is drafted in a simple and short form to procure signing without negotiation and includes key terms and provisions that define the obligations of the employee and provide for the enforcement of the agreement.

How to use this Document?

How to Use a Non-Compete and Non-Solicitation Agreement Template in 10 Steps:

1. Begin by entering the current date and the names and addresses of the parties involved.

2. Acknowledge the receipt of good and valuable consideration.

3. Define key terms such as Business, Compete, Solicit, and Confidential and Proprietary Information.

4. Outline the obligations of non-compete and non-solicitation in clear and concise language.

5. Require the employee to keep confidential any trade secrets, business secrets, customer data, or Confidential and Proprietary Information obtained from the Company.

6. Include acknowledgments from the employee that the restrictions are fair and necessary to protect the business interests of the Company and that legal counsel has been obtained to review the agreement.

7. Establish penalties for breach of the agreement, including injunctive relief, liquidated damages, and account repayment of profits.

8. Specify the duration of the non-compete and non-solicitation obligations, which should not exceed what is reasonable under the circumstances.

9. Include an enforceability provision, which allows for the invalid provision to be substituted with a similar enforceable term.

10. Sign the agreement, making it legal and binding between the parties, and attach any necessary schedules.

This non-compete and non-solicitation agreement template is useful for businesses that want to protect their confidential information, customer base, and other business interests from competition by former employees. The template is designed to be fair, reasonable, and equitable, and it is important to define the terms of the agreement clearly to avoid any future disputes. By following the steps outlined above and having both parties sign and retain a copy of the agreement, businesses can help ensure that their interests are protected and that their former employees do not compete unfairly.



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