The Non Compete Shareholders Agreement is a crucial document for Singapore companies seeking to protect their business interests from competitive activities by their shareholders. This agreement becomes particularly important during ownership transitions, new shareholder entries, or when implementing corporate governance structures. It must carefully balance the company's need for protection with Singapore's strict requirements for reasonable restrictions in terms of duration, geographic scope, and business activities. The document typically includes detailed provisions about restricted activities, confidentiality obligations, and enforcement mechanisms, all tailored to comply with Singapore's legal framework.
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Key Requirements PROMPT example:
Non Compete Shareholders Agreement
"I need a Non Compete Shareholders Agreement for my Singapore-based technology startup that prevents our three founding shareholders from competing with our AI development business for 24 months after they exit, specifically within the APAC region."
1. Parties: Identification and details of all shareholders and the company
2. Background: Context of the agreement and existing shareholding structure
3. Definitions: Key terms used throughout the agreement
4. Non-Compete Obligations: Core restrictions including scope, duration, and geographic coverage of non-compete provisions
5. Term and Termination: Duration of the agreement and circumstances for termination
6. Confidentiality: Protection of company and shareholder confidential information
7. Governing Law and Jurisdiction: Specification of Singapore law as governing law and jurisdiction for disputes
1. Employee Obligations: Additional restrictions and obligations specific to shareholders who are also employees
2. Share Transfer Restrictions: Additional limitations and procedures for transfer of shares
3. Non-Solicitation: Restrictions on soliciting employees, customers, or suppliers
4. Dispute Resolution: Specific procedures for resolving disputes, including mediation or arbitration provisions
1. Schedule 1 - Schedule of Shareholders: Comprehensive list of all shareholders and their respective shareholdings
2. Schedule 2 - Restricted Business Activities: Detailed list of prohibited business activities under the non-compete provisions
3. Schedule 3 - Restricted Territories: Geographic areas where non-compete restrictions apply
4. Schedule 4 - Excluded Activities: List of permitted activities explicitly excluded from non-compete restrictions
Authors
Relevant legal definitions
Affiliate
Agreement
Board
Business
Business Day
Competing Business
Confidential Information
Effective Date
Encumbrance
Group
Intellectual Property Rights
Material Interest
Non-Compete Period
Parties
Permitted Business
Restricted Activities
Restricted Area
Restricted Business
Shares
Shareholder
Subsidiary
Territory
Trade Secrets
Transfer
Agreement
Board
Business
Business Day
Competing Business
Confidential Information
Effective Date
Encumbrance
Group
Intellectual Property Rights
Material Interest
Non-Compete Period
Parties
Permitted Business
Restricted Activities
Restricted Area
Restricted Business
Shares
Shareholder
Subsidiary
Territory
Trade Secrets
Transfer
Clauses
Interpretation
Definitions
Non-Compete Obligations
Duration and Scope
Geographical Restrictions
Confidentiality
Share Transfer Restrictions
Non-Solicitation
Non-Dealing
Protection of Business Interests
Exceptions and Carve-outs
Consideration
Representations and Warranties
Remedies and Enforcement
Severability
Assignment
Termination
Governing Law
Dispute Resolution
Notices
Entire Agreement
Amendments
Waiver
Costs
Counterparts
Definitions
Non-Compete Obligations
Duration and Scope
Geographical Restrictions
Confidentiality
Share Transfer Restrictions
Non-Solicitation
Non-Dealing
Protection of Business Interests
Exceptions and Carve-outs
Consideration
Representations and Warranties
Remedies and Enforcement
Severability
Assignment
Termination
Governing Law
Dispute Resolution
Notices
Entire Agreement
Amendments
Waiver
Costs
Counterparts
Relevant Industries
Relevant Teams
Relevant Roles
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