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Non Compete Intellectual Property Agreement Template for India

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Key Requirements PROMPT example:

Non Compete Intellectual Property Agreement

"Need a Non Compete Intellectual Property Agreement for a senior AI engineer joining our Bangalore-based startup in March 2025, with focus on protecting our machine learning algorithms and restricting work with competitors in India for 12 months post-employment."

Document background
The Non Compete Intellectual Property Agreement is essential for businesses operating in India who need to protect their intellectual property assets while ensuring reasonable competitive restrictions on their employees, contractors, or business partners. This document is particularly relevant in today's knowledge-based economy where IP protection is crucial for maintaining competitive advantage. The agreement must be carefully structured to comply with Indian legal requirements, particularly Section 27 of the Indian Contract Act which generally invalidates restraints on trade except in limited circumstances. It addresses various forms of IP including patents, copyrights, trade secrets, and digital assets, while incorporating non-compete provisions that are reasonably limited in time and geographic scope to enhance enforceability under Indian law.
Suggested Sections

1. Parties: Identification of the contracting parties including their registered addresses and company details

2. Background: Context of the agreement, relationship between parties, and purpose of entering into this agreement

3. Definitions: Detailed definitions of key terms including Intellectual Property Rights, Confidential Information, Competitive Business, Territory, and Restricted Period

4. Ownership of Intellectual Property: Clear statement of IP ownership, including pre-existing IP and newly created IP

5. Non-Compete Obligations: Specific restrictions on competitive activities, carefully drafted to be reasonable and potentially enforceable under Indian law

6. Confidentiality Obligations: Obligations regarding the protection and non-disclosure of confidential information and trade secrets

7. Term and Territory: Duration of the agreement and geographical scope of restrictions

8. Assignment of Rights: Provisions regarding the assignment of intellectual property rights created during the relationship

9. Representations and Warranties: Warranties regarding ownership of IP, right to enter into agreement, and non-infringement

10. Indemnification: Indemnification obligations for breach of agreement or third-party claims

11. Breach and Remedies: Consequences of breach and available remedies including injunctive relief

12. Dispute Resolution: Process for resolving disputes including jurisdiction and governing law

13. General Provisions: Standard boilerplate provisions including notices, amendments, and severability

Optional Sections

1. Non-Solicitation: Additional restrictions on soliciting employees, customers, or suppliers - recommended when there's significant customer/employee relationship risk

2. Return of Materials: Procedures for returning confidential materials and IP - important when physical or electronic materials are shared

3. Audit Rights: Right to audit compliance with IP and confidentiality obligations - useful for high-value IP relationships

4. Insurance: Requirements for insurance coverage - relevant when significant IP assets are involved

5. Survival: Specific provisions that survive termination - recommended for complex IP relationships

6. Garden Leave: Provisions for paid non-compete period - relevant for senior employee relationships

7. Technology Transfer: Procedures for transferring technology or know-how - important for technical IP

8. Training and Trade Secrets: Provisions regarding specialized training and protection of trade secrets - relevant for technical roles

Suggested Schedules

1. Schedule 1 - Defined IP Assets: Detailed list of specific intellectual property assets covered by the agreement

2. Schedule 2 - Restricted Activities: Detailed description of prohibited competitive activities

3. Schedule 3 - Territorial Scope: Detailed mapping of geographical restrictions with specific excluded/included areas

4. Schedule 4 - Consideration: Details of any consideration paid for non-compete obligations or IP rights

5. Schedule 5 - Pre-Existing IP: List of pre-existing IP owned by each party

6. Appendix A - Confidentiality Procedures: Specific procedures for handling and protecting confidential information

7. Appendix B - IP Assignment Forms: Template forms for executing IP assignments

8. Appendix C - Approved Activities: List of activities explicitly permitted despite non-compete restrictions

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

Information Technology

Pharmaceuticals

Biotechnology

Manufacturing

Research and Development

Software Development

Financial Services

Healthcare

Telecommunications

Engineering

Professional Services

Electronics

Artificial Intelligence

E-commerce

Digital Media

Defense

Automotive

Chemical Industry

Relevant Teams

Legal

Research and Development

Engineering

Product Development

Information Technology

Innovation

Intellectual Property

Human Resources

Technical Operations

Design

Scientific Research

Software Development

Data Science

Business Development

Professional Services

Relevant Roles

Chief Technology Officer

Software Engineer

Research Scientist

Product Manager

Technical Lead

R&D Manager

Data Scientist

Systems Architect

Business Development Manager

Innovation Director

Chief Scientific Officer

Design Engineer

Technical Consultant

Project Manager

Senior Developer

AI Engineer

Biotechnology Researcher

Product Designer

Algorithm Developer

Solutions Architect

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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