The Non-Compete Agreement After Termination is essential for protecting an organization's legitimate business interests when employees depart. This document is particularly relevant in Singapore's competitive business environment, where protection of trade secrets, customer relationships, and proprietary information is crucial. The agreement specifies restrictions on post-employment activities, including competition limitations, geographical bouNDAries, and time periods. It must comply with Singapore's legal requirements regarding reasonableness and legitimate business interests, and typically includes consideration for the restrictions imposed.
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1. Parties: Identification of the employer and employee, including full legal names and addresses
2. Background: Context of the agreement, including reference to employment relationship and termination
3. Definitions: Key terms used in the agreement including 'Restricted Business', 'Territory', 'Confidential Information'
4. Non-Compete Obligations: Core restrictions including scope of prohibited activities, geographical limitations, and duration
5. Duration: Specific time period for which restrictions apply post-termination
6. Consideration: Details of compensation provided in exchange for non-compete obligations
7. Governing Law: Specification of Singapore law as governing law
1. Non-Solicitation of Customers: Additional restrictions on approaching former customers - use when employee had significant customer contact
2. Non-Solicitation of Employees: Restrictions on hiring former colleagues - use when employee had management role or influence over other employees
3. Garden Leave: Provisions for paid leave during notice period - use for senior executives or when immediate competition risk exists
4. Severability: Clause allowing rest of agreement to stand if parts are found unenforceable - recommended for all but especially important for complex restrictions
1. Schedule 1: Restricted Territory: Detailed list or map of geographical areas covered by restrictions
2. Schedule 2: Restricted Businesses: Detailed description of competitor businesses or prohibited activities
3. Schedule 3: Consideration Details: Breakdown of any payments or benefits provided as consideration
4. Appendix A: Acknowledgment Form: Form for employee to acknowledge understanding and acceptance of restrictions
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