Non-Solicitation Agreement

A non-solicitation agreement is a legal contract that prevents an employee, contractor, or business partner from soliciting the company’s employees or clients for a specific period after leaving the company. This agreement helps protect a business’s relationships with its clients and employees, preventing former employees or partners from poaching clients or staff. Non-solicitation agreements are common in industries where client relationships are valuable.

Example

An employee signs a non-solicitation agreement, preventing them from contacting or recruiting the company’s clients or staff for two years after leaving the company.

Key points

• A legal contract preventing the solicitation of a company’s employees or clients for a certain period.

• Helps protect client relationships and prevents employee poaching.

• Common in industries where relationships with clients and employees are critical to business success.

Quick Answers to Curious Questions

How do non-solicitation agreements benefit companies?

They protect the company’s workforce and client base from being poached by former employees or partners, ensuring business continuity and preserving valuable relationships.

What are typical restrictions in a non-solicitation agreement?

They typically include prohibiting the individual from contacting or recruiting the company’s employees or clients and may specify a time frame and geographic scope.

How enforceable are non-solicitation agreements?

They are generally enforceable if they are reasonable in scope and duration, and they protect legitimate business interests without overly restricting the individual’s future employment opportunities.