Non Compete Agreements After Termination are essential tools for businesses operating in England and Wales to protect their legitimate interests following an employee's departure. These agreements are particularly crucial when employees have access to sensitive information, key client relationships, or trade secrets. The agreement must be carefully drafted to ensure enforceability under English law, balancing the employer's need for protection with the reasonableness of restrictions. Common law principles require that such agreements be no wider than necessary to protect legitimate business interests.
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1. Parties: Identification and details of the employer and employee
2. Background: Context of the agreement and employment relationship
3. Definitions: Key terms used throughout the agreement including 'Restricted Business', 'Restricted Period', 'Territory'
4. Duration of Restrictions: Time period for which restrictions apply post-employment
5. Scope of Restrictions: Specific activities prohibited during restriction period including competition and business interference
6. Geographic Limitations: Territorial scope of restrictions and defined areas where restrictions apply
7. Consideration: Value provided in exchange for accepting restrictions
1. Garden Leave: Terms for period when employee remains employed but not working - used for senior employees or when immediate competition risk exists
2. Cascading Provisions: Alternative restrictions of varying scope/duration for different jurisdictions and enforceability scenarios
3. Non-Solicitation of Employees: Restrictions on hiring former colleagues - used when protecting team stability is crucial
1. Schedule of Restricted Customers: List of specific customers covered by restrictions
2. Schedule of Restricted Territory: Detailed definition of geographic areas covered by the restrictions
3. Schedule of Competitors: List of specific competing businesses employee cannot join
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