Confidentiality Agreements Employee Contract With Non-compete Clause
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FAQ
A confidentiality agreement should include a clear definition of the confidential information, scope of the agreement, obligations of the receiving party, the duration of the contract, any exceptions to confidentiality, and the consequences of a breach of the contract.
Confidentiality/non-disclosure agreements are contracts in which the employee promises not to disclose certain proprietary information, such as trade secrets. Non-compete agreements are contracts in which the employee agrees not to unfairly compete against his/her (former) employer.
Generally a non-compete for an employee cannot prevent you from working in your industry, even in your same position. Nor can it prevent you from starting a business doing the same thing. It can and usually does prevent you from soliciting the customers of your previous employer, for a number of years.
While companies cannot prevent other businesses from hiring their employees, the non-disclosure agreement is very effective at preventing employees of a company from using proprietary information as a bargaining tool for recruitment from competing firms.
You agree that at no time during the term of your employment with the Company will you engage in any business activity which is competitive with the Company nor work for any company which competes with the Company.