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Simple Non Compete Agreement Template for South Africa

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Key Requirements PROMPT example:

Simple Non Compete Agreement

"I need a Simple Non-Compete Agreement for a senior software developer leaving our Cape Town-based tech company, restricting them from working with competitors within South Africa for 12 months after their departure date of March 1, 2025."

Document background
The Simple Non-Compete Agreement is essential in South African business relationships where protecting competitive advantages and confidential information is crucial. This document is commonly used in employment relationships, business sales, partnership arrangements, and contractor engagements. It must carefully balance the protection of legitimate business interests against constitutional rights to freedom of trade and occupation under South African law. The agreement typically specifies restricted activities, geographic limitations, and duration, while ensuring compliance with South African competition law and labor regulations. Key considerations include reasonableness of restrictions, clear definition of protected interests, and appropriate consideration or compensation. The document is particularly relevant when parties have access to sensitive information, trade secrets, or valuable client relationships that require protection.
Suggested Sections

1. Parties: Identification and details of the parties entering into the agreement

2. Background: Context of the agreement, relationship between parties, and purpose of the non-compete provisions

3. Definitions: Key terms used in the agreement, including 'Restricted Business', 'Territory', 'Restricted Period', and 'Confidential Information'

4. Non-Compete Obligations: Core restrictions on competitive activities, clearly defining prohibited activities and scope

5. Duration and Territory: Specific timeframe and geographic area where restrictions apply, ensuring reasonableness under South African law

6. Consideration: The benefit or payment provided in exchange for the non-compete obligations

7. Confidentiality Obligations: Protection of confidential information and trade secrets

8. Breach and Remedies: Consequences of breaching the agreement and available legal remedies

9. General Provisions: Standard clauses including governing law, jurisdiction, and entire agreement provisions

Optional Sections

1. Non-Solicitation of Employees: Additional restrictions on recruiting employees, used when protecting human resources is crucial

2. Non-Solicitation of Customers: Restrictions on approaching customers or clients, included when customer relationships are vital

3. Garden Leave: Provisions for paid leave during notice period, used in employment-related non-compete agreements

4. Training and Development Costs: Clauses regarding repayment of training costs, included when significant investment in training has been made

5. Intellectual Property Protection: Additional IP-related restrictions, used when IP protection is a key concern

6. Survival Clause: Specifying which obligations continue after agreement termination, used in complex business relationships

Suggested Schedules

1. Schedule A - Restricted Territory: Detailed description or map of geographic areas where restrictions apply

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

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

4. Schedule D - Customer List: List of protected customers or client relationships, if applicable

5. Schedule E - Confidential Information: Detailed categorization of protected confidential information and trade secrets

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

























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Relevant Industries

Technology

Professional Services

Financial Services

Healthcare

Manufacturing

Retail

Consulting

Information Technology

Pharmaceuticals

Engineering

Research and Development

Education and Training

Sales and Distribution

Business Services

Relevant Teams

Human Resources

Legal

Executive Leadership

Sales

Research and Development

Information Technology

Product Development

Business Development

Operations

Marketing

Customer Relations

Technical Services

Strategic Planning

Relevant Roles

Chief Executive Officer

Senior Manager

Sales Director

Technical Lead

Research Scientist

Business Development Manager

Software Engineer

Product Manager

Account Manager

Consultant

Department Head

Regional Manager

Technical Specialist

Marketing Director

Operations 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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