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Employee Termination Confidentiality Agreement for Malaysia

Employee Termination Confidentiality Agreement Template for Malaysia

A comprehensive legal document governed by Malaysian law that formalizes the confidentiality obligations of an employee upon termination of their employment. This agreement ensures the protection of company confidential information, trade secrets, and proprietary data after the employment relationship ends. It complies with Malaysian employment legislation, including the Employment Act 1955 and Personal Data Protection Act 2010, while establishing clear obligations, restrictions, and remedies regarding the handling and non-disclosure of sensitive information post-employment.

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Employee Termination Confidentiality Agreement

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What is a Employee Termination Confidentiality Agreement?

The Employee Termination Confidentiality Agreement is a crucial document used in Malaysian employment contexts when an employee's service with a company is being terminated, whether through resignation, mutual agreement, or dismissal. This agreement serves to protect the company's confidential information, trade secrets, and business interests after the employment relationship ends. It should be implemented in accordance with Malaysian employment law, particularly the Employment Act 1955, Industrial Relations Act 1967, and Personal Data Protection Act 2010. The agreement typically includes detailed provisions about what constitutes confidential information, specific non-disclosure obligations, requirements for returning company property, and remedies for breach. It's particularly important in industries dealing with sensitive information or when employees have had access to valuable proprietary information.

What sections should be included in a Employee Termination Confidentiality Agreement?

1. Parties: Identification of the employer and the departing employee

2. Background: Context of the employment relationship and its termination

3. Definitions: Detailed definitions including 'Confidential Information', 'Trade Secrets', 'Intellectual Property', and other key terms

4. Acknowledgment of Termination: Formal acknowledgment of employment termination including effective date

5. Confidentiality Obligations: Core confidentiality provisions including scope of confidential information and duration of obligations

6. Return of Company Property: Requirements for returning all company property, documents, and data

7. Non-Disclosure Undertaking: Specific undertakings regarding non-disclosure of confidential information

8. Survival of Obligations: Clarification that confidentiality obligations survive termination

9. Breach and Remedies: Consequences of breach and available remedies

10. Governing Law: Specification of Malaysian law as governing law

11. Execution: Signature blocks and execution details

What sections are optional to include in a Employee Termination Confidentiality Agreement?

1. Non-Disparagement: Mutual or one-way obligations regarding non-disparagement, used when there's concern about potential reputational damage

2. Intellectual Property Rights: Additional provisions regarding IP rights, used when the employee had access to or created IP

3. Future Employment: Guidelines about disclosure in future employment contexts, used for sensitive industries

4. Consideration: Details of any additional payment or consideration, used when providing separation benefits

5. Mutual Obligations: Two-way confidentiality obligations, used when employee had access to personal information about other employees

6. Social Media: Specific provisions regarding social media usage and confidentiality, used for employees with significant social media presence

What schedules should be included in a Employee Termination Confidentiality Agreement?

1. Schedule 1: Confidential Information: Detailed list of types of confidential information covered

2. Schedule 2: Company Property: Itemized list of company property to be returned

3. Schedule 3: Existing Obligations: Reference to existing confidentiality obligations from employment contract

4. Appendix A: Acknowledgment Form: Form confirming return of all company property and information

5. Appendix B: Exit Interview Checklist: Checklist of confidentiality-related items discussed during exit interview

Authors

Alex Denne

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

Jurisdiction

Malaysia

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions






























Clauses

























Relevant Industries

Technology

Financial Services

Healthcare

Manufacturing

Professional Services

Telecommunications

Biotechnology

Research and Development

Retail

Education

Energy

Construction

Media and Entertainment

Consulting

Relevant Teams

Human Resources

Legal

Information Technology

Research and Development

Sales

Marketing

Finance

Operations

Executive Leadership

Product Development

Customer Service

Administration

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Senior Manager

Project Manager

Software Developer

Research Scientist

Sales Director

Marketing Manager

Product Manager

Business Analyst

HR Manager

Legal Counsel

Operations Manager

Technical Lead

Account Manager

Financial Analyst

Executive Assistant

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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