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Non Compete Agreement Internet Business Template for England and Wales

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Key Requirements PROMPT example:

Non Compete Agreement Internet Business

"I need a Non Compete Agreement Internet Business for my departing CTO who has extensive knowledge of our proprietary e-commerce platform and customer data; the restrictions should last for 18 months from March 2025 and cover the UK and EU markets."

Document background
This Non Compete Agreement Internet Business is crucial for protecting digital enterprises operating under English and Welsh law. It is typically implemented when key personnel leave the organization or following business transactions. The agreement outlines specific restrictions on competitive activities in the digital space, including online platforms, digital services, and internet-based operations. It contains provisions for protecting intellectual property, customer data, and business methods while ensuring compliance with UK competition regulations and reasonable restraint of trade principles.
Suggested Sections

1. Parties: Identification and details of the contracting parties

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Scope of Restrictions: Detailed description of prohibited activities including specific internet-based operations and online presence restrictions

5. Duration: Time period for which restrictions apply, considering reasonableness in the context of internet businesses

6. Geographic Scope: Territorial limitations of restrictions, including online presence and digital marketplace considerations

7. Consideration: Value exchanged for the restrictions

8. Enforcement: Mechanisms for enforcing the agreement and remedies for breach

Optional Sections

1. Garden Leave: Provisions for employee transition period and continued payment during restricted period

2. Intellectual Property Protection: Additional safeguards for digital assets, software, algorithms, and online platforms

3. Client/Customer Non-Solicitation: Specific restrictions on approaching clients through digital means including social media and email

4. Data Protection Compliance: Specific provisions ensuring compliance with UK GDPR and data protection requirements

Suggested Schedules

1. Schedule 1: Restricted Business Activities: Detailed list of prohibited online business activities and digital operations

2. Schedule 2: Protected Customers/Clients: List of specific customers and digital platforms covered by restrictions

3. Schedule 3: Restricted Territories: Detailed geographic areas and digital marketplaces covered by restrictions

4. Schedule 4: Confidential Information: Definition and scope of protected information including digital assets and online business secrets

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 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
Relevant Teams
Relevant Roles
Industries

Competition Act 1998: Primary UK legislation governing competition law, which regulates anti-competitive agreements and abuse of dominant market positions

Enterprise Act 2002: Legislation that strengthens UK competition law and provides framework for market investigations and merger control

Employment Rights Act 1996: Key employment legislation that sets out the fundamental rights of employees, relevant when non-compete clauses are part of employment contracts

Unfair Contract Terms Act 1977: Legislation that regulates unfair terms in contracts and sets limits on what contractual terms can be enforced

UK GDPR: Post-Brexit data protection regulation governing how personal data must be handled and protected in the UK

Data Protection Act 2018: UK's implementation of data protection standards, working alongside UK GDPR to regulate personal data processing

Tillman v Egon Zehnder Ltd [2019]: Supreme Court case providing key guidance on the drafting and interpretation of non-compete clauses, particularly regarding severance of unreasonable restrictions

Common Law Restraint of Trade Doctrine: Legal principle that any restriction on trade must be reasonable and protect legitimate business interests

Consumer Rights Act 2015: Legislation protecting consumer rights and regulating unfair terms in consumer contracts, relevant if the non-compete agreement affects individual consumers

Privacy and Electronic Communications Regulations: Regulations governing electronic communications and online privacy, particularly relevant for internet businesses

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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