A Lifetime Non Compete Agreement is utilized when a business seeks to protect its legitimate interests by preventing an individual from engaging in competitive activities indefinitely. Under English and Welsh law, while such agreements can be drafted, courts generally view lifetime restrictions as unenforceable unless exceptional circumstances exist. The document typically includes detailed provisions about restricted activities, territorial scope, and consideration, though enforceability typically requires reasonable limitations in duration and scope. These agreements are most commonly used for senior executives, key employees with access to sensitive information, or in business sale contexts.
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1. Parties: Identification and details of the contracting parties
2. Background: Context and circumstances leading to the agreement
3. Definitions: Key terms used throughout the agreement
4. Scope of Restrictions: Detailed description of prohibited activities
5. Duration: Time period of restrictions (noting enforceability issues)
6. Geographic Scope: Territorial limitations of the restrictions
7. Consideration: Value provided in exchange for the restrictions
8. Governing Law: Specification of applicable law and jurisdiction
1. Confidentiality Obligations: Additional provisions regarding protection of confidential information, used when specific confidential information needs protection
2. Garden Leave Provisions: Terms regarding paid leave during notice period, used when agreement relates to employment termination
3. Severability: Provisions for partial enforcement if parts are deemed invalid, used when agreement covers multiple restrictions
1. Schedule of Restricted Activities: Detailed list of specific activities covered by restrictions
2. Schedule of Restricted Territories: Detailed list of geographic areas covered by restrictions
3. Schedule of Consideration: Details of compensation or benefits provided
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