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Non Compete Agreement (Construction)

Non Compete Agreement (Construction) Template for South Africa

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Key Requirements PROMPT example:

Non Compete Agreement (Construction)

"I need a Non Compete Agreement (Construction) for a senior project manager leaving our Cape Town-based construction firm to restrict them from working with our clients or competitors within the Western Cape region for 24 months from March 2025."

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Document background
The Non-Compete Agreement (Construction) is a specialized legal document designed for use in the South African construction industry when one party needs to protect its legitimate business interests from competition by another party. This document is typically employed during business acquisitions, employment terminations, or contractor arrangements within the construction sector. It includes specific provisions addressing construction projects, technical expertise, client relationships, and geographical restrictions, all while ensuring compliance with South African competition law, the Construction Industry Development Board Act, and constitutional rights to trade. The agreement is particularly relevant in scenarios involving senior personnel movement, company restructuring, or business sales in the construction sector, where protection of proprietary knowledge and client relationships is crucial.
Suggested Sections

1. Parties: Identification of the parties entering into the agreement, including company registration numbers or individual details

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

3. Definitions: Detailed definitions of key terms, including 'Confidential Information', 'Competing Business', 'Construction Services', 'Territory', and 'Restricted Period'

4. Scope of Restrictions: Clear outline of prohibited activities, including specific construction sectors, services, and business activities

5. Geographic Limitations: Defined territorial boundaries where restrictions apply, with specific reference to construction projects and markets

6. Duration of Restrictions: Time period for which the non-compete obligations remain in force

7. Confidentiality Obligations: Provisions regarding the protection and non-disclosure of confidential information

8. Non-Solicitation: Restrictions on soliciting employees, clients, or suppliers

9. Acknowledgments: Party acknowledgments regarding reasonableness of restrictions and receipt of consideration

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

11. General Provisions: Standard contract clauses including governing law, jurisdiction, and severability

Optional Sections

1. Special Projects Exemption: Used when certain construction projects or activities need to be explicitly excluded from restrictions

2. Training and Skills Development: Include when the agreement needs to address continued professional development or training obligations

3. Exit Provisions: Used for agreements with current employees/contractors to specify conditions upon termination

4. Client Protection Clause: Include when specific client relationships need additional protection

5. Consideration: Required when specific compensation is provided in exchange for non-compete obligations

6. Compliance with Industry Regulations: Include when specific construction industry regulations affect the scope of restrictions

Suggested Schedules

1. Schedule A - Restricted Territory: Detailed map or description of geographical areas covered by restrictions

2. Schedule B - Competing Businesses: List of specific competitors or types of competing businesses

3. Schedule C - Protected Clients: List of specific clients or client categories protected under the agreement

4. Schedule D - Restricted Services: Detailed description of construction services and activities covered by restrictions

5. Appendix 1 - Consideration Details: Details of any compensation or benefits provided in exchange for non-compete obligations

6. Appendix 2 - Compliance Certificate: Template for periodic compliance certification by the restricted party

Authors

Alex Denne

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

alex.den.21@genieai.co
Relevant legal definitions



































Clauses






























Relevant Industries

Commercial Construction

Residential Construction

Industrial Construction

Infrastructure Development

Civil Engineering

Mining Construction

Road Construction

Building Materials Manufacturing

Construction Equipment

Green Building and Sustainable Construction

Property Development

Construction Project Management

Relevant Teams

Executive Leadership

Project Management

Business Development

Operations

Technical Services

Estimating

Construction Management

Sales

Site Operations

Contract Administration

Quantity Surveying

Engineering

Relevant Roles

Construction Project Manager

Site Engineer

Construction Director

Technical Director

Chief Estimator

Construction Supervisor

Business Development Manager

Senior Quantity Surveyor

Construction Operations Manager

Contracts Manager

Chief Executive Officer

Regional Construction Manager

Senior Project Manager

Technical Services Director

Head of Construction

Construction 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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