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Real Estate Non Compete Agreement Template for Canada

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Key Requirements PROMPT example:

Real Estate Non Compete Agreement

"I need a Real Estate Non-Compete Agreement for my departing senior broker who has managed our Vancouver luxury property portfolio for 5 years; the agreement should restrict them from competing within British Columbia for 2 years starting March 2025, with special focus on the luxury residential market segment."

Document background
A Real Estate Non-Compete Agreement is essential in protecting legitimate business interests within Canada's competitive real estate market. This document is typically used when real estate professionals or companies part ways, during the sale of real estate businesses, or in employment relationships within the real estate sector. It outlines specific restrictions on competitive activities, including geographical boundaries, time limitations, and prohibited business activities, all while ensuring compliance with Canadian competition laws and provincial regulations. The agreement must balance the protection of business interests with reasonable restrictions that courts will enforce, considering factors such as market scope, professional expertise, and legitimate business needs. Such agreements are particularly crucial in scenarios involving access to confidential information, client relationships, or specialized market knowledge.
Suggested Sections

1. Parties: Identification of all parties to the agreement, including full legal names and addresses

2. Background: Context of the agreement, relationship between parties, and legitimate business interests being protected

3. Definitions: Key terms used throughout the agreement, including 'Restricted Business', 'Territory', 'Confidential Information', and 'Competitive Activities'

4. Scope of Non-Compete: Detailed description of prohibited activities and business operations

5. Geographic Restrictions: Specific definition of the territorial boundaries where the non-compete applies

6. Duration: Time period for which the non-compete restrictions will remain in effect

7. Consideration: The value or benefit provided in exchange for the non-compete obligations

8. Confidentiality Obligations: Provisions regarding the protection of confidential information and trade secrets

9. Remedies for Breach: Consequences of violation, including injunctive relief and damages

10. Severability: Provision ensuring that if any part is found unenforceable, the remainder stays valid

11. Governing Law: Specification of Canadian law and relevant provincial jurisdiction

12. General Provisions: Standard contract clauses including notices, amendments, and entire agreement

Optional Sections

1. Non-Solicitation: Additional restrictions on soliciting clients, employees, or suppliers - used when broader protection is needed

2. Assignment Rights: Provisions regarding the ability to transfer rights under the agreement - included when assignment might be contemplated

3. Dispute Resolution: Specific procedures for resolving disputes, such as mediation or arbitration - used when parties want to avoid court litigation

4. Survival: Specification of which provisions survive termination - included when certain obligations should continue past the agreement's end

5. Insurance Requirements: Obligations to maintain specific insurance coverage - included when risk management is a concern

6. Reporting and Compliance: Mechanisms for monitoring compliance - used in high-value or high-risk situations

Suggested Schedules

1. Schedule A - Restricted Territory: Detailed maps or descriptions of the geographical areas covered by the non-compete

2. Schedule B - Restricted Business Activities: Comprehensive list of specific business activities that are prohibited

3. Schedule C - Consideration Details: Breakdown of any financial or other consideration provided for the non-compete

4. Schedule D - Excluded Activities: List of specific activities that are permitted despite the non-compete

5. Appendix 1 - Compliance Certificate: Template for periodic certification of compliance with the agreement

6. Appendix 2 - Notice Requirements: Detailed procedures and contact information for required notices under the agreement

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

Real Estate

Property Development

Commercial Property

Residential Property

Real Estate Investment

Property Management

Real Estate Brokerage

Real Estate Consulting

Construction

Real Estate Technology

Relevant Teams

Legal

Real Estate Operations

Business Development

Compliance

Human Resources

Executive Leadership

Sales

Property Management

Investment

Risk Management

Relevant Roles

Real Estate Agent

Real Estate Broker

Property Manager

Real Estate Development Manager

Real Estate Investment Manager

Business Development Director

Real Estate Consultant

Real Estate Operations Manager

Branch Manager

Real Estate Sales Director

Franchise Development Manager

Real Estate Legal Counsel

Chief Executive Officer

Managing Director

Regional Sales 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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