Who is Protected Party?

• Who is Protected Party? That is a person that wants to be protected against competition:

  • An individual
  • A company or organization

• Indicate the full name of a Protected Party:

  !

  This information should be provided in accordance with a person’s ID card or passport.

• Indicate the full residential address of a Protected Party:

• Indicate the full business name of a Protected Party:

• Indicate the full business address of a Protected Party:

General Information

• Indicate the date on which this Agreement is signed by both Parties:

  !

  This is the date when this Non-Compete Agreement becomes effective.

• In which state the Protected Party is based/registered?

  Choose option Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming District of Columbia

  !

  The laws of a state selected as an answer to this question will apply towards this Agreement.

Duration and Limitations

• Indicate the period of time (in months) within which a Restricted Party should be restricted from competition with a Protected Party.

  !

  Neither federal nor state laws define the maximum period of time when a party can be restricted from a direct competition with the other party.

  An average duration of non-compete limitations is between 6 and 36 months. The exact duration depends on the industry, a restricted party’s expertise, and other factors.

• Do the parties wish to list all business activities a Restricted Party should be prohibited from doing during the period of non-compete limitations?

  • No
  • Yes

  !

  A detailed list of prohibited business activities that the Restricted Party is prohibited could be included into this Agreement.

  For instance, an associate attorney at a law firm might handle both family law litigation and trusts and estates matters. Upon departure, the attorney and the firm could agree that the attorney is allowed to continue working in trusts and estates but must not take part in family law litigation that competes with the firm’s practice.

  Additionally, the protected party may choose to list specific competitors the Restricted Party should avoid working with.

• Indicate the list of all business activities a Restricted Party should be limited to participate in.

  !

  The list of business activities should be as precise as possible. It will help to avoid ambiguity and possible conflicts along the road.

• Describe in detail a geographical area (city, town, or state) where a Restricted Party cannot perform competitive activity:

  !

  A geographical area should not be indicated in general.

  There should be a list of certain regions, towns, or counties where a competitive activity should be restricted.

  Restriction to the whole country is unnecessarily excessive and usually cannot be enforced in the court. For instance, if a business of a protected party is based in Utah, a geographical area could be limited to the state of Utah only. In that particular case, limitation to other states is not practical.

Additional Restrictions

• Is a Restricted Party prohibited from soliciting current business partners, contractors, or customers of a Protected Party?

  • Yes
  • No

  !

  To solicit a client means to actively reach out to or encourage a client of the former employer or business to move their business to a new company or service.

  This can include direct communication, marketing, or offering similar services with the intent of taking the client away from the protected party.

• Should a Restricted Party be prohibited from hiring former and current employees of a Protected Party?

  • Yes
  • No

• Does a Restricted Party sign this agreement in exchange for employment with a Protected Party?

  • No
  • Yes

• Which type of compensation does a Restricted Party get in exchange for signing this agreement?

  • Nominal compensation (100 US dollars)
  • Monetary compensation
  • Salary raise
  • Career promotion
  • Other arrangement

  !

  If a Protected Party signs this agreement for reasons other than taking up employment with a Restricted Party, a Protected Party receives compensation.

  Compensation is essential and can take different forms.

• Indicate the amount of monetary compensation (in US dollars) a Restricted Party should get:

• Indicate the amount of monthly raise (in US dollars), given to a Restricted Party:

• Indicate the title of a new job position to which a Restricted Party should be promoted:

• Describe other compensation a Restricted Party should get in exchange for signing this Agreement:

• Do you want to add a signature?

  • Yes
  • No

• Add your signature:

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