A Non-Solicitation Agreement is an additional document signed with an employee which forbids the employee to solicit any of the employer's clients if the employee decides to leave their job. This agreement does not necessarily only concern clients, but also other employees which may be solicited in quitting a company.
The main reason for the Non-Solicitation Agreement for employees is to ensure that no clients are "stolen" if an employee decides to change jobs and work for a competitor. After all, it would be rather unfair to the company that has worked hard to maintain and develop a loyal base of clients which can simply be poached by a competitor. This is also the case when an employee decides to leave and open up their own business. It would be much easier to take an existing client base, which could have a devastating effect on the former employer. In order to ensure that this does not happen, we would recommend signing a Non-Solicitation Agreement. That way, both the employee and employer are aware of the policies surrounding this and if there is a violation from the side of the employee, the former employer can take them to court.
A Non-Solicitation Agreement template can be downloaded by clicking the link below.
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