Non Compete Employment Contract Template for Belgium

This document is a Non-Compete Employment Contract governed by Belgian law, designed to protect an employer's legitimate business interests by restricting an employee's ability to compete after employment termination. The agreement must comply with strict Belgian legal requirements, including maximum duration of 12 months, specified geographical limitations, and mandatory financial compensation for the restricted period. The contract balances the employer's need to protect confidential information and customer relationships with the employee's right to work, incorporating specific provisions required under Belgian employment legislation and ensuring enforceability within the Belgian legal framework.

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What is a Non Compete Employment Contract?

The Non-Compete Employment Contract is utilized when an employer in Belgium needs to protect their legitimate business interests from potential competition from former employees. This document is particularly relevant for roles involving access to sensitive information, key client relationships, or specialized knowledge. The contract must strictly comply with Belgian employment law, which requires specific elements such as geographical limitations, maximum 12-month duration, and compensation of at least 50% of the employee's salary during the non-compete period. The agreement balances protecting the employer's interests with the employee's right to work, making it essential for positions where the employee could pose a competitive threat if they were to join a competitor or start a competing business. The document includes detailed provisions on scope, duration, compensation, and enforcement mechanisms, all tailored to meet Belgian legal requirements.

What sections should be included in a Non Compete Employment Contract?

1. Parties: Identification of the employer and employee with full legal names and addresses

2. Background: Context of the employment relationship and reason for the non-compete agreement

3. Definitions: Key terms used throughout the agreement, including 'Competitive Activity', 'Territory', and 'Confidential Information'

4. Employment Terms: Basic terms of employment including role, start date, and general duties

5. Non-Compete Obligations: Detailed restrictions on competitive activities post-employment

6. Geographic Scope: Specific definition of the territorial limits of the non-compete obligation as required by Belgian law

7. Duration: Time period of the non-compete obligation (maximum 12 months under Belgian law)

8. Financial Compensation: Mandatory compensation for the non-compete period (minimum requirement under Belgian law)

9. Confidentiality: Obligations regarding confidential information and trade secrets

10. Notice and Termination: Terms for ending the employment relationship and impact on non-compete obligations

11. Remedies and Enforcement: Consequences of breach and enforcement mechanisms

12. Governing Law: Confirmation of Belgian law application and jurisdiction

13. Signatures: Execution section for both parties

What sections are optional to include in a Non Compete Employment Contract?

1. International Activities: Additional provisions for employees working across borders or in multiple jurisdictions

2. Industry-Specific Restrictions: Additional restrictions specific to certain industries (e.g., technology, sales)

3. Training and Development: Provisions regarding specialized training provided by the employer and associated obligations

4. Customer Non-Solicitation: Specific provisions preventing solicitation of customers, if applicable

5. Employee Non-Solicitation: Provisions preventing recruitment of other employees, if applicable

6. Intellectual Property: Provisions regarding IP rights and inventions, particularly relevant for technical or creative roles

7. Garden Leave: Provisions for paid leave during notice period, if applicable

8. Severance Terms: Additional compensation or benefits beyond statutory requirements

What schedules should be included in a Non Compete Employment Contract?

1. Schedule 1 - Compensation Details: Detailed breakdown of non-compete compensation calculation and payment schedule

2. Schedule 2 - Territory Map: Visual representation of the geographic scope of non-compete restrictions

3. Schedule 3 - Competitive Business List: Specific list of competitors or competing activities covered by the agreement

4. Schedule 4 - Confidential Information: Detailed list of types of confidential information covered by the agreement

5. Appendix A - Employee's Role and Responsibilities: Detailed description of the employee's position and duties

6. Appendix B - Company Policies: Relevant company policies referenced in the main agreement

Authors

Alex Denne

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

Jurisdiction

Belgium

Publisher

Genie AI

Document Type

Employment Contract

Cost

Free to use

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