Outside Employment Agreement Template for Canada

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Key Requirements PROMPT example:

Outside Employment Agreement

"I need an Outside Employment Agreement for a senior software developer who will be teaching part-time at a local university starting January 2025, with specific focus on protecting our intellectual property and limiting teaching hours to 8 hours per week."

Document background
The Outside Employment Agreement is essential in modern Canadian workplaces where employees increasingly seek diverse professional opportunities alongside their primary employment. This document is typically used when employees wish to engage in consulting, teaching, speaking engagements, or other professional activities outside their main role. It addresses key aspects such as time allocation, conflict of interest prevention, confidentiality protection, and intellectual property rights, while ensuring compliance with Canadian federal and provincial employment laws. The agreement is particularly relevant in knowledge-based industries and professional services sectors where employees may have opportunities for external work that could potentially impact their primary employment relationship.
Suggested Sections

1. Parties: Identification of the primary employer and the employee entering into the agreement

2. Background: Context of the agreement, including reference to the primary employment relationship

3. Definitions: Key terms used throughout the agreement, including 'Outside Employment', 'Confidential Information', 'Intellectual Property', and 'Conflict of Interest'

4. Scope of Permission: Details of what types of outside employment are permitted and under what conditions

5. Disclosure Requirements: Employee's obligations to disclose current and future outside employment opportunities

6. Time Commitment: Limitations on time spent on outside employment and priority of primary employment

7. Conflict of Interest: Prohibited activities and circumstances that constitute conflicts of interest

8. Confidentiality: Protection of employer's confidential information while engaging in outside employment

9. Intellectual Property: Ownership of IP created during outside employment and relation to primary employment

10. Primary Employment Obligations: Confirmation that outside employment won't interfere with primary job duties

11. Termination: Circumstances under which permission for outside employment may be revoked

12. General Provisions: Standard clauses including governing law, amendments, and notices

Optional Sections

1. Non-Competition: Additional restrictions on competing activities, used when outside employment poses specific competitive risks

2. Use of Employer Resources: Rules regarding use of primary employer's resources, included when relevant to the nature of outside employment

3. Insurance Requirements: Required insurance coverage for outside employment, included for high-risk activities

4. Revenue Sharing: Terms for sharing income from outside employment, included when employer has legitimate interest in employee's external earnings

5. Reporting Requirements: Periodic reporting obligations, included for more regulated or higher-risk outside employment

6. Client Non-Solicitation: Restrictions on working with employer's clients, included when there's significant client relationship risk

7. Indemnification: Employee's obligation to indemnify employer for outside employment activities, included for higher-risk situations

Suggested Schedules

1. Schedule A - Approved Outside Employment Activities: Detailed list of specifically approved outside employment activities and any conditions

2. Schedule B - Disclosure Form: Standard form for disclosing details of proposed outside employment

3. Schedule C - Time Reporting Template: Template for tracking time spent on outside employment activities

4. Schedule D - Conflict Check Procedure: Process for evaluating potential conflicts of interest

5. Appendix 1 - Company Policies: Reference to relevant company policies affecting outside employment

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 | Serial Founder & Legal AI Author

Relevant legal definitions
Relevant Industries

Technology

Professional Services

Education

Healthcare

Financial Services

Media and Entertainment

Consulting

Research and Development

Non-Profit

Engineering

Relevant Teams

Human Resources

Legal

Compliance

Research and Development

Professional Services

Engineering

Creative Services

Executive Leadership

Information Technology

Business Development

Relevant Roles

Software Developer

Consultant

Professor

Medical Professional

Research Scientist

Financial Advisor

Technical Specialist

Creative Professional

Engineer

Project Manager

Business Analyst

Executive

Director

Legal Counsel

Marketing Specialist

Sales Professional

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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