The Non Competition And Confidentiality Agreement is a crucial legal instrument used in Philippine business relationships where protection of sensitive information and prevention of unfair competition are essential. This document is typically implemented when parties enter into business relationships involving access to confidential information, trade secrets, or strategic business knowledge. It serves dual purposes: protecting proprietary information from unauthorized disclosure and preventing unfair competition through reasonable restrictions on future business activities. The agreement must be carefully drafted to comply with Philippine constitutional principles, the Civil Code, Data Privacy Act, and relevant jurisprudence regarding restraint of trade. It is particularly important in employment relationships, business partnerships, and consulting arrangements where sensitive information is shared and competitive advantages need protection.
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1. Parties: Identification and details of the contracting parties
2. Background: Context of the agreement, relationship between parties, and purpose of the agreement
3. Definitions: Definitions of key terms including 'Confidential Information', 'Competing Business', 'Territory', 'Restricted Period', etc.
4. Confidentiality Obligations: Core confidentiality provisions, including scope of confidential information and protection requirements
5. Permitted Disclosures: Circumstances under which confidential information may be disclosed and associated procedures
6. Non-Competition Obligations: Scope of non-compete restrictions including duration, geographic area, and prohibited activities
7. Return of Confidential Information: Obligations regarding return or destruction of confidential information upon termination or request
8. Duration and Termination: Term of the agreement and circumstances for termination
9. Breach and Remedies: Consequences of breach and available remedies including injunctive relief
10. General Provisions: Standard clauses including governing law, jurisdiction, entire agreement, and amendments
1. Non-Solicitation: Additional restrictions on soliciting employees, customers, or suppliers - used when business relationships need specific protection
2. Data Privacy Compliance: Specific provisions for compliance with the Data Privacy Act - required when personal data is involved
3. Intellectual Property Rights: Additional provisions regarding IP ownership and protection - used when IP is a significant concern
4. Audit Rights: Right to audit compliance with confidentiality obligations - useful for high-security industries
5. Insurance Requirements: Obligations to maintain specific insurance coverage - relevant for high-risk industries
6. Exit Interview Procedures: Specific procedures for ending business relationships - useful for employment contexts
7. Survival Clauses: Specific provisions that survive termination - important for long-term protection
1. Schedule A - Confidential Information: Detailed list of specific confidential information covered by the agreement
2. Schedule B - Restricted Territory: Detailed definition of geographic areas covered by non-compete provisions
3. Schedule C - Competing Businesses: List of specific competitors or types of competing businesses
4. Schedule D - Authorized Representatives: List of individuals authorized to receive confidential information
5. Appendix 1 - Security Protocols: Detailed security measures for handling confidential information
6. Appendix 2 - Notification Procedures: Procedures for reporting unauthorized disclosures or breaches
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