Independent Contractor Non Compete Agreement Template for Indonesia

The Independent Contractor Non-Compete Agreement is essential for businesses operating in Indonesia that engage independent contractors with access to sensitive business information or strategic operations. This document addresses the unique aspects of Indonesian business law while protecting company interests through legally enforceable non-compete provisions. It's particularly relevant when contractors have access to confidential information, client relationships, or specialized knowledge that could be harmful to the company if used in competition. The agreement must comply with Indonesian Civil Code (KUHPerdata) requirements and competition laws while maintaining reasonable restrictions in terms of duration, geographic scope, and business activities. It includes provisions for establishing the independent contractor relationship, scope of work, compensation, and specific non-compete obligations.

1. Parties: Identification of the contracting parties - the company and the independent contractor

2. Background: Context of the agreement, nature of the company's business, and the independent contractor's services

3. Definitions: Key terms including Confidential Information, Competitive Activities, Territory, and Restricted Period

4. Independent Contractor Relationship: Clear statement of independent contractor status and not employment relationship

5. Scope of Services: Description of services to be provided by the contractor

6. Term and Termination: Duration of the agreement and termination provisions

7. Non-Compete Obligations: Specific restrictions on competitive activities during and after the contract period

8. Non-Solicitation: Restrictions on soliciting clients, employees, or suppliers

9. Confidentiality: Protection of confidential information and trade secrets

10. Intellectual Property Rights: Ownership and transfer of intellectual property created during the engagement

11. Compensation: Payment terms and method for services rendered

12. Representations and Warranties: Statements of fact and promises by both parties

13. Governing Law and Jurisdiction: Specification of Indonesian law and relevant jurisdiction

14. General Provisions: Standard clauses including severability, entire agreement, and amendments