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Outside Employment Agreement

Outside Employment Agreement Template for United States

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Key Requirements PROMPT example:

Outside Employment Agreement

"Need an Outside Employment Agreement for a software developer who wants to do freelance consulting work for up to 10 hours per week, starting March 2025, with specific provisions for protecting our company's intellectual property and client relationships."

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Document background
The Outside Employment Agreement is essential in today's dynamic work environment where employees increasingly seek multiple income streams or professional development opportunities. This document, compliant with U.S. federal and state employment laws, provides a framework for managing secondary employment relationships while protecting the primary employer's interests. It typically includes detailed provisions about work hours, conflict management, confidentiality, and intellectual property rights. The agreement is particularly relevant in situations where employees wish to pursue consulting, freelancing, or part-time opportunities while maintaining their primary employment.
Suggested Sections

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Context of the agreement and relationship between parties

3. Definitions: Key terms used throughout the agreement

4. Scope of Outside Employment: Details of permitted outside work activities and limitations

5. Primary Employment Obligations: Confirmation of primary employer's rights and employee's duties

6. Time Commitment: Permitted hours for outside employment

7. Conflicts of Interest: Provisions regarding avoiding conflicts between employments

8. Confidentiality: Protection of confidential information from both employers

9. Term and Termination: Duration of agreement and termination provisions

Optional Sections

1. Non-Compete Provisions: Restrictions on competitive activities - use when protecting business interests from competition is crucial

2. Intellectual Property Rights: Ownership of IP created during outside employment - use when outside work may involve creation of IP

3. Performance Standards: Specific performance requirements for primary employment - use when maintaining specific performance levels is crucial

4. Insurance Requirements: Additional insurance needs for outside work - use when outside work involves specific risks or liabilities

Suggested Schedules

1. Schedule A - Approved Outside Activities: Detailed list of specifically approved outside employment activities

2. Schedule B - Time Allocation: Specific breakdown of permitted hours and scheduling

3. Schedule C - Conflict Disclosure Form: Template for declaring potential conflicts of interest

4. Schedule D - Primary Employer Policies: Reference to relevant employer policies affecting outside work

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Clauses

























Industries

Fair Labor Standards Act (FLSA): Federal law establishing minimum wage, overtime pay, recordkeeping, and youth employment standards

National Labor Relations Act (NLRA): Federal law protecting employees' rights to organize and engage in collective bargaining

Civil Rights Act of 1964 (Title VII): Federal law prohibiting employment discrimination based on race, color, religion, sex, and national origin

Americans with Disabilities Act (ADA): Federal law protecting individuals with disabilities from employment discrimination

Age Discrimination in Employment Act (ADEA): Federal law protecting workers 40 and older from employment discrimination

Immigration Reform and Control Act (IRCA): Federal law requiring employers to verify employment eligibility of their employees

State Labor Laws: Various state-specific regulations governing employment conditions, minimum wage, and overtime requirements

State Non-Compete Laws: State-specific regulations governing the enforceability and scope of non-compete agreements

Copyright Act: Federal law protecting original works of authorship and establishing work-for-hire doctrine

Patent Laws: Federal laws governing invention rights and patent ownership in employment context

Trade Secret Laws: Federal and state laws protecting confidential business information and trade secrets

IRS Employment Classification: Federal tax regulations determining worker classification as employee vs. independent contractor

Statute of Frauds: State contract law requiring certain agreements to be in writing to be enforceable

Defend Trade Secrets Act: Federal law providing uniform trade secret protection across states

State Privacy Laws: State-specific regulations governing the collection and protection of employee data

Industry-Specific Regulations: Sector-specific compliance requirements and professional licensing standards applicable to certain industries

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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