Non Compete Non Circumvent Agreement Template for Indonesia

The Non-Compete Non-Circumvent Agreement is essential in Indonesian business relationships where parties need to protect their commercial interests, business relationships, and competitive advantage. This document is particularly relevant when parties share sensitive business information, establish valuable business relationships, or engage in collaborative business activities. The agreement must carefully balance business protection with Indonesian legal requirements, particularly concerning employment rights and competition laws. It typically includes specific provisions regarding the scope of restrictions, duration, geographical limitations, and protection of business relationships, all structured to ensure compliance with Indonesian Civil Code (Kitab Undang-undang Hukum Perdata) and relevant commercial regulations. The document is commonly used in business partnerships, employment relationships, and commercial collaborations where protection against competition and circumvention is crucial.

1. Parties: Identification of all parties to the agreement, including full legal names and addresses

2. Background: Context of the agreement, relationship between parties, and purpose of entering into the agreement

3. Definitions: Detailed definitions of key terms used throughout the agreement, including 'Confidential Information', 'Competing Business', 'Territory', etc.

4. Non-Compete Obligations: Specific restrictions on competitive activities, including scope, duration, and geographical limitations

5. Non-Circumvention Obligations: Provisions preventing direct or indirect circumvention of business relationships and opportunities

6. Duration and Territory: Specific timeframe and geographical scope of the restrictions

7. Confidentiality Obligations: Requirements regarding handling and protection of confidential information

8. Permitted Activities: Clear outline of activities that are explicitly allowed despite restrictions

9. Consideration: Details of compensation or benefit provided in exchange for the restrictions

10. Acknowledgments: Parties' acknowledgments regarding reasonableness of restrictions and receipt of consideration

11. Breach and Remedies: Consequences of breach and available remedies including injunctive relief

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