Non-Compete Agreement Template for the Business Protection
I am sure that the business will not be free from the competition. Yes, competition is the soul of the business. However, sometimes, the competition will decrease business needs, especially when the competition is unhealthy. On this occasion, we will talk to you about the non-compete agreement template, especially to protect your business.
Yes, this kind of document is an important document, especially for the employee. There are some detail matters inside the document, which you may see it before making the legal document. Well, please take a seat and read some following writings below to know what is inside the agreement here.
The Definition of Non-Compete Agreement
Knowing about the definition of a non-compete agreement is important, especially to know what this agreement tells about. This agreement is also known as the non-compete clause or NCC. The purpose of the agreement is to restrict the employee to do the same business with their former, especially after they are resigning.
By the agreement, of course, the employee will have no right to do the same business with the former. When the employee rejects the agreement, of course, the former company could claim their right in the name of the law.
Protecting the Business with The Agreement
It could be said that the non-compete agreement is a way to protect the business. I am sure that by the non-compete agreement, you will never face the competition with the former employee, and the agreement is also useful to protect from the critical information, especially when your former employee knows the detail working inside the company.
Maybe some of you think that this matter is not important. Well, you are wrong. For the big company, inside competitors are more dangerous than the outer competitors. By this matter, of course, the use of a non-compete agreement document is needed.
Information Inside the Agreement
To make the right non-compete agreement, you need to know the detail information that should be added inside the agreement. Yes, the detail information will show the clear information about the agreement. With the detail information, of course, the agreement also could be understood easier for every party.
Well, some information that should be added inside the non-compete agreement are:
- The detailed name and the address of the concerned parties
- The effective date of the non-compete agreement
- The outline reasons why the non-compete agreement should be made
- The specific duration and the geographical area to know about the non-compete agreement
- The name of the individual signing the non-compete agreement
- The compensatory benefits besides the non-compete agreement
- Optional terms
The points above show some details inside the non-compete agreement, which you need to know. Then, for the optional terms, there are some other points that you need to see. Some details of it are:
- The consenting party will have no right to hire an employee based on some specific duration
- The consenting party has no right and will be forbidden to solicit the customers from the protected party
Well, that is all about the non-compete agreement template. You may go online to get examples of it.