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Active Non Compete Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

Active Non Compete Agreement

"I need an Active Non Compete Agreement for a senior software developer in Dubai who will have access to our proprietary AI algorithms and client database, with restrictions effective from March 2025 and covering the entire GCC region."

Document background
An Active Non-Compete Agreement is a crucial document for businesses operating in the UAE seeking to protect their legitimate business interests, trade secrets, and competitive advantage. This agreement, governed by UAE Labor Law, restricts former employees from engaging in competitive activities for a specified period and within defined geographical boundaries. It is particularly important in the UAE market where business relationships and proprietary information are highly valued. The document must comply with UAE Labor Law requirements, including reasonable limitations on scope, duration (typically not exceeding two years), and geographic reach. It should be used when onboarding employees in sensitive positions or those with access to confidential information, ensuring protection of the employer's interests while remaining enforceable under UAE jurisdiction.
Suggested Sections

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Context of the agreement, including the employee's role and access to confidential information

3. Definitions: Key terms used throughout the agreement, including 'Confidential Information', 'Restricted Business', 'Restricted Period', and 'Restricted Territory'

4. Scope of Employment: Description of the employee's position, duties, and access to sensitive information

5. Non-Compete Obligations: Core restrictions on competitive activities, including duration, geographic scope, and prohibited activities

6. Non-Solicitation: Restrictions on soliciting customers, employees, or suppliers

7. Confidentiality Obligations: Requirements for protecting confidential information and trade secrets

8. Duration and Territory: Specific timeframe and geographical areas where restrictions apply

9. Acknowledgments: Employee's confirmation of the reasonableness of restrictions and receipt of consideration

10. Remedies: Available legal remedies in case of breach, including injunctive relief

11. Governing Law and Jurisdiction: Specification of UAE law application and relevant courts

12. Execution: Signature blocks and execution requirements

Optional Sections

1. Garden Leave: Used when the employer wishes to include provisions for paid leave during which the employee cannot work for competitors

2. Training Compensation: Include when the employer has provided specialized training and wishes to protect this investment

3. Exit Interview: Required when the employer wants to mandate an exit interview process for departing employees

4. Return of Property: Detailed section on returning company property, needed when employee has access to significant company assets

5. Survival of Obligations: Specific provisions about which obligations continue after employment ends, particularly relevant for senior positions

6. Severability: Important for agreements that may be subject to judicial review, allowing remainder of agreement to stand if one portion is invalidated

Suggested Schedules

1. Schedule 1: Restricted Territory: Detailed map or list of geographical areas where restrictions apply

2. Schedule 2: Restricted Businesses: Comprehensive list of competitor businesses or business types covered by the restriction

3. Schedule 3: Confidential Information: Detailed categorization of confidential information and trade secrets

4. Appendix A: Employee's Position Details: Specific details about the employee's role, responsibilities, and access to sensitive information

5. Appendix B: Consideration: Details of any additional compensation or benefits provided in exchange for the non-compete obligations

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions

























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Relevant Industries

Technology

Financial Services

Professional Services

Healthcare

Manufacturing

Retail

Telecommunications

Engineering

Consulting

Real Estate

Energy

Media and Entertainment

Pharmaceuticals

Aviation

Education

Relevant Teams

Human Resources

Legal

Sales

Business Development

Research and Development

Executive Leadership

Product Development

Operations

Marketing

Finance

Information Technology

Customer Relations

Strategy

Relevant Roles

Chief Executive Officer

Chief Technology Officer

Sales Director

Business Development Manager

Senior Software Engineer

Account Manager

Research Scientist

Product Manager

Financial Controller

Operations Director

Marketing Manager

Technical Lead

Regional Manager

Senior Consultant

Department Head

Executive Director

Vice President

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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