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Employee Non Compete Agreement Template for Australia

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Key Requirements PROMPT example:

Employee Non Compete Agreement

"I need an Employee Non-Compete Agreement for a senior software engineer in our Sydney-based technology company, specifically restricting work with competitors in the AI and machine learning space across Australia and New Zealand for 12 months post-employment."

Document background
The Employee Non-Compete Agreement is a crucial document for Australian businesses seeking to protect their legitimate commercial interests, intellectual property, and client relationships. It is particularly relevant when onboarding senior executives, key technical staff, or employees with access to sensitive information or significant client relationships. The agreement must be carefully drafted to ensure compliance with Australian employment law principles, which generally favor employee mobility while recognizing employers' rights to protect legitimate business interests. The document typically specifies restricted activities, geographical boundaries, and time periods, and must be reasonable in scope to be enforceable. It should be used selectively for positions where protection is genuinely necessary, as Australian courts tend to scrutinize such restrictions carefully.
Suggested Sections

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

2. Background: Context of the agreement, including the employee's role and access to confidential information

3. Definitions: Key terms including 'Confidential Information', 'Competitive Activity', 'Restricted Period', 'Restricted Area', and 'Business'

4. Non-Compete Obligations: Core restrictions on competitive activities during and after employment

5. Non-Solicitation: Restrictions on soliciting customers, employees, or suppliers

6. Confidentiality: Obligations regarding confidential information and trade secrets

7. Duration and Geographic Scope: Specific timeframes and geographical areas for restrictions

8. Acknowledgments: Employee acknowledgments of reasonableness and necessity of restrictions

9. Severability: Provisions for severing unenforceable terms while maintaining others

10. Governing Law: Specification of Australian law and relevant jurisdiction

11. Execution: Signature blocks and execution requirements

Optional Sections

1. Garden Leave: Optional provisions for paid non-compete period during employment term

2. Consideration: Specific compensation for non-compete obligations, if provided separately from employment compensation

3. Intellectual Property: Additional provisions regarding IP rights and developments

4. Dispute Resolution: Specific procedures for resolving disputes before litigation

5. Independent Legal Advice: Acknowledgment of receiving or having the opportunity to receive independent legal advice

6. Survival Clause: Specifying which provisions survive termination of employment

Suggested Schedules

1. Schedule 1 - Restricted Activities: Detailed list of specific activities the employee is restricted from performing

2. Schedule 2 - Geographic Regions: Detailed maps or descriptions of restricted geographical areas

3. Schedule 3 - Restricted Clients/Customers: List of specific clients or customer categories covered by restrictions

4. Appendix A - Compensation Details: Details of any specific compensation for non-compete obligations

5. Appendix B - Confidential Information: Detailed description of types of confidential information covered

Authors

Alex Denne

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

Relevant legal definitions






























Clauses

























Relevant Industries

Technology

Professional Services

Financial Services

Healthcare

Manufacturing

Retail

Telecommunications

Consulting

Pharmaceuticals

Media and Entertainment

Real Estate

Engineering

Research and Development

Relevant Teams

Human Resources

Legal

Executive Leadership

Sales

Business Development

Research and Development

Product Development

Client Services

Operations

Information Technology

Strategy

Marketing

Relevant Roles

Chief Executive Officer

Chief Technology Officer

Sales Director

Senior Software Engineer

Account Manager

Business Development Manager

Research Scientist

Product Manager

Technical Lead

Senior Consultant

Financial Advisor

Regional Manager

Head of Strategy

Chief Marketing Officer

Senior Account Executive

Principal Engineer

Head of Sales

Senior Project Manager

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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