Non-Disparagement Agreement Template for South Africa

A Non-Disparagement Agreement legally prevents parties from making negative public statements about each other. Common in South African employment contracts and settlement agreements, these clauses protect both employers and employees from harmful comments that could damage reputations or business relationships.

Under South African labour law, these agreements must balance free speech rights with legitimate business interests. They typically cover spoken and written statements, social media posts, and media communications. Breaking this agreement can lead to financial penalties or legal action through the Labour Court, making it a powerful tool for maintaining professional relationships after disputes or separations.

Consider using a Non-Disparagement Agreement during sensitive employment transitions, particularly when ending executive relationships or settling workplace disputes. These agreements prove especially valuable in South Africa's competitive business sectors, where protecting company reputation and maintaining confidentiality are crucial.

The agreement becomes essential during mergers and acquisitions, high-profile departures, or after resolving discrimination claims through the CCMA. It helps prevent social media backlash, preserves client relationships, and maintains workplace harmony. Many companies now include these clauses during initial employment contract negotiations to establish clear boundaries from the start.

• Mutual Non-Disparagement Clauses: Both parties agree not to make negative statements about each other, common in executive settlements and partnership dissolutions
• One-Way Agreements: Usually employer-favoring clauses requiring only the employee to avoid negative comments, typical in standard employment contracts
• Limited-Scope Clauses: Restrict disparagement only about specific aspects like trade secrets or business practices
• Time-Bound Agreements: Include sunset provisions that expire after a set period, often used in temporary consulting arrangements
• Industry-Specific Versions: Tailored for sectors like media, technology, or financial services, with unique protections for sector-specific concerns

• Employers: Companies and organizations using Non-Disparagement Agreements to protect their reputation, trade secrets, and business relationships
• Senior Executives: Often negotiate these agreements during employment contracts or exit packages, protecting both personal and professional interests
• HR Directors: Draft and implement these agreements as part of employment policies and termination procedures
• Legal Teams: Review and customize agreements to ensure compliance with South African labour laws and enforceability
• Departing Employees: Sign these agreements as part of separation packages, often in exchange for additional benefits

• Party Details: Gather full legal names, contact information, and roles of all individuals or entities involved
• Scope Definition: List specific topics, activities, or information the agreement will cover
• Duration Planning: Determine how long the agreement should remain in effect
• Compensation Terms: Document any financial or other benefits tied to the agreement's signing
• Enforcement Methods: Outline consequences for breaches and dispute resolution procedures under South African law
• Document Format: Use our platform to generate a legally compliant agreement that includes all required elements and local legal requirements

• Party Identification: Full legal names and details of all involved parties, including their roles and capacities
• Scope Definition: Clear description of prohibited statements and communications, including social media
• Duration Clause: Specific timeframe or conditions for the agreement's validity
• Consideration: Clear statement of benefits or compensation making the agreement binding
• Remedies Section: Detailed consequences for breaches under South African law
• Exceptions Clause: Lawful disclosures required by courts or regulatory bodies
• Signature Block: Space for dated signatures, witnesses, and company details per local requirements

A Non-Disparagement Agreement differs significantly from a Non-Disclosure Agreement (NDA), though both protect business interests. While they often work together, each serves a distinct purpose in South African business law.

• Scope of Protection: Non-Disparagement Agreements specifically prevent negative statements or criticism, while NDAs protect confidential information and trade secrets
• Duration and Enforcement: NDAs typically have longer terms and clearer triggers for breach, while Non-Disparagement terms often focus on post-employment conduct
• Legal Requirements: NDAs must specifically identify confidential information under South African law, while Non-Disparagement clauses can be more general in their protective scope
• Common Usage: NDAs are standard in most business relationships, while Non-Disparagement clauses are more common in employment terminations and settlements