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Non Compete Clause In Offer Letter Template for Philippines

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Key Requirements PROMPT example:

Non Compete Clause In Offer Letter

"I need a Non Compete Clause In Offer Letter for a senior software engineer position in our Manila tech company, with restrictions covering Southeast Asia and protecting our AI/ML technology, to be effective from March 2025."

Document background
The Non-Compete Clause In Offer Letter is a crucial component of employment documentation in the Philippines, particularly for positions involving access to sensitive business information or key client relationships. This clause is typically incorporated into offer letters for roles where protecting the company's legitimate business interests is essential. Under Philippine law, such clauses must be reasonable in scope, duration, and geographic coverage to be enforceable. The document should be tailored to comply with Philippine Civil Code provisions and relevant Supreme Court jurisprudence, which require that non-compete restrictions have adequate consideration and protect legitimate business interests without unduly restricting an individual's right to work. This type of clause is particularly relevant in today's highly competitive business environment, where employee mobility and protection of proprietary information are key concerns.
Suggested Sections

1. Introduction and Context: Statement establishing that the non-compete clause is an integral part of the employment offer

2. Scope of Restriction: Clear definition of prohibited competitive activities and specific industry sectors covered

3. Geographic Coverage: Specific geographic areas where the non-compete restrictions apply

4. Duration: Specific time period for which the non-compete obligations will remain in effect post-employment

5. Legitimate Business Interest: Statement explaining the company's legitimate business interests being protected

6. Consideration: Specific mention of the consideration being provided in exchange for the non-compete commitment

7. Acknowledgment: Employee's acknowledgment of the reasonableness and understanding of the restrictions

Optional Sections

1. Garden Leave Provision: Optional clause specifying any paid non-compete period, typically used for senior positions

2. Carve-outs: Specific exceptions to the non-compete restrictions, used when certain activities should be permitted

3. Industry-Specific Restrictions: Additional restrictions specific to particular industries or roles, used in specialized sectors

4. International Application: Provisions for international scope, used when employee might work across multiple jurisdictions

5. Severability: Clause ensuring rest of restrictions remain valid if one part is found unenforceable, used in complex restrictions

Suggested Schedules

1. List of Competitors: Specific list of competing companies or organizations covered by the restriction

2. Restricted Activities: Detailed description of specific activities considered competitive

3. Geographic Restriction Map: Visual representation or list of specific geographic areas covered by the restriction

Authors

Alex Denne

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

Relevant legal definitions























Clauses


















Relevant Industries

Technology

Financial Services

Manufacturing

Professional Services

Healthcare

Telecommunications

Retail

Consumer Goods

Pharmaceuticals

Information Technology

Business Process Outsourcing

Research and Development

Engineering Services

Management Consulting

Relevant Teams

Human Resources

Legal

Executive Leadership

Sales

Business Development

Research & Development

Product Development

Engineering

Operations

Finance

Marketing

Information Technology

Customer Success

Strategy

Relevant Roles

Chief Executive Officer

Chief Technology Officer

Senior Software Engineer

Sales Director

Business Development Manager

Research Scientist

Product Manager

Senior Consultant

Department Head

Regional Manager

Technical Lead

Account Executive

Operations Manager

Financial Controller

Marketing Director

Senior Analyst

Project Manager

Head of Human Resources

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, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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