On several occasions, a former employee or employees who have been trained, given special access to an organization’s operational protocols, and are in the company’s custody’s sensitive documents may get to come back and compete with the same company. Several times, some employees may even use such information to compete with their employers while still on their payroll.
Using Non-Compete Agreement Templates:
This happens more often, resulting in giving a new organization an undue, competitive edge over its former company. This is avoidable, but when it happens, it is deeply painful and damaging. A company can, however, work to forestall such occurrences by ensuring the worker or the employees compulsorily sign a Non-Compete Agreement form. It will ensure that the employee isn’t in a position to be a competitor with the company now or in the future.
In a nutshell, a Non-Compete Agreement is a contract that draws a limit to when and where (permitted) an employee could be involved in the business or services that are the same as the employer or former employer.
On most occasions, the agreement restricts the party designated (employee) from involving himself with the same or similar services with the former company within certain distances where the issuing organization has interest and/or offices are located. On other occasions, he/she is stopped from practicing within the same state, country, or any other place where the employer and/or his subsidiaries operate.
Though there may be a couple of modifications depending on the perspectives from which the employee(s) and the company take the agreement the details above are imperative and necessary to include in a non-compete agreement. General employees must seek advice from a lawyer/professional before signing such an agreement to avoid getting into any trouble in the future. But on a more general note, employees are advised to carefully study Non-Compete Agreements and understand the details before signing them.
Free Non-Compete Agreement Templates:
Non-Compete Agreement Writing Guidelines:
A good Non-Compete Agreement writing guide must include the following details:
- The name and the identity of the employee signing the Non-Compete Agreement contract.
- The employer’s name and the parties (subsidiary) that are part of the agreement.
- The date of signing the agreement.
- The substance of the agreement should be clearly stated. (NOT to directly or indirectly compete).
- The benefits of the agreement. (i.e. Access to business network, trade secrets, and other benefits).
- The employee agrees that those secrets and accesses are entirely the property of the employers. It will not be used against them as a competitor.
- The employee agrees to take deliberate measures to prevent the disclosure of such from his/her end.
- On a broad preemptive view, the employee is barred from owning, consulting, or becoming an employee of any business undertaking similar services to the one that issued the Non-Compete Agreement to him/her.
- The content of the agreement should be amendable depending on the circumstances and the law involved.
- The employee agrees to ensure such restriction is within a distance available in the Non-Compete Agreement contract.
- The Non-Compete Agreement form is signed by the company or its representatives.
- Lastly, the employee also appends his signature, after which he writes the date.
Below, we have posted some free and professional non-compete agreement templates that anyone can use according to their need. These are all templates free and available in MS Word Format. So don’t waste your time and just download our high-quality templates. To download the template, we have provided a download button below each template. After hitting the download button, your download will start quickly.
Why Do You Need a Non-Compete Agreement?
A non-compete agreement is used to prevent your employees from working in another company with your company. Many companies use this agreement to prevent their employees from taking part in activities that can reduce the value of the company in the market. As we all know the employees are the most useful assets of a company. Theeveryd every aspect of your business and can make it reach the heights of success in no time. So it is very necessary to prevent them from working in the competition of your company. Because they know all the weak and strong points of your company. So they can make an impact by working in your competition. But this agreement stops them from all of these activities that can be harmful to your business.
If you have no non-compete agreement, then a key employee can leave you and start working in the competition of your company. In this way, he/she can be very harmful to you. Without having this agreement, you will not be able to take legal action against them and they will have no fear of you in their minds while destroying your business. So, it is very necessary to use a non-compete agreement while hiring an employee. This agreement does not mean that the employee cannot work in the same field or somewhere else. It just stops him, /her from being harmful to your business. So don’t forget to use a non-compete agreement while hiring a new person in your company. This agreement is perfect to protect the business.
Kamran Khan is a seasoned blogger with a deep-seated passion for office document processes and the art of productivity. With a wealth of experience spanning over a decade, Kamran has become a trusted name in the blogging community, known for his insightful articles and practical solutions that help individuals and businesses streamline their daily operations.
