This Non Solicitation Agreement For Independent Contractors is essential for businesses operating in Malaysia that engage independent contractors and need to protect their business interests, client relationships, and workforce stability. It's particularly relevant in today's dynamic business environment where contractor relationships are increasingly common. The document addresses key aspects such as defining prohibited solicitation activities, establishing reasonable temporal and geographical restrictions, and ensuring compliance with Malaysian legislation including the Contracts Act 1950 and Competition Act 2010. This agreement is typically used when engaging contractors who will have significant client contact or access to sensitive business information.
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1. Parties: Identifies the contracting parties - the company and the independent contractor
2. Background: Explains the context of the agreement, nature of the contractor's engagement, and business relationship
3. Definitions: Defines key terms including 'Confidential Information', 'Clients', 'Solicitation', 'Restricted Period', and 'Business Territory'
4. Scope of Engagement: Confirms the independent contractor status and general nature of services
5. Non-Solicitation Obligations: Details restrictions on soliciting clients, employees, and other contractors
6. Duration and Territory: Specifies the time period and geographical scope of the non-solicitation obligations
7. Consideration: States the consideration provided in exchange for the non-solicitation commitments
8. Acknowledgments: Contractor's acknowledgment of reasonableness of restrictions and receipt of consideration
9. Breach and Remedies: Outlines consequences of breach and available remedies including injunctive relief
10. General Provisions: Standard clauses including governing law, severability, and entire agreement
1. Confidentiality Obligations: Additional section when the agreement needs to include detailed confidentiality provisions beyond basic non-solicitation
2. Industry-Specific Restrictions: Additional restrictions specific to particular industries or regulated sectors
3. Non-Competition Provisions: Optional broader restrictions on competition, if appropriate and enforceable
4. Assignment and Succession: Specific provisions for transferability of obligations, particularly relevant for larger organizations
5. Dispute Resolution: Detailed alternative dispute resolution procedures if parties prefer specific mechanisms
6. Survival: Specific provisions about which obligations survive termination of the main contractor agreement
1. Schedule 1 - Restricted Clients: List of specific clients covered by non-solicitation provisions
2. Schedule 2 - Restricted Territory: Detailed description or map of geographical areas covered by restrictions
3. Schedule 3 - Contractor Services: Description of services provided by contractor to establish scope of restrictions
4. Appendix A - Form of Acknowledgment: Standard form for periodic acknowledgment of obligations
5. Appendix B - Consideration Details: Specific details of consideration provided for non-solicitation commitments
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Professional Services
Management Consulting
Healthcare
Financial Services
Engineering
Creative Industries
Education and Training
Construction
Digital Marketing
Relevant Teams
Legal
Human Resources
Procurement
Compliance
Operations
Project Management Office
Business Development
Client Services
Risk Management
Vendor Management
Relevant Roles
Independent Consultant
Freelance Developer
Contract Project Manager
External Advisor
Freelance Designer
Contract Business Analyst
Independent Sales Representative
Contract Healthcare Professional
Freelance Marketing Specialist
External Trainer
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