Non Use Agreement

Non Use Agreement Template for Philippines

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Key Requirements PROMPT example:

"I need a Non-Use Agreement for my pharmaceutical company in Manila to restrict a departing senior researcher from using our proprietary drug formulation methods for 3 years after their departure date of March 1, 2025."

Document background

The Non-Use Agreement serves as a critical legal instrument in the Philippine business environment for protecting proprietary information, technology, and other valuable assets from unauthorized use. This document becomes necessary when one party needs to ensure that another party, who may have legitimate access to certain information or assets, does not use them for unauthorized purposes. The agreement must comply with Philippine legislation, including the Civil Code (Republic Act No. 386), the Intellectual Property Code (Republic Act No. 8293), and the Data Privacy Act of 2012 (Republic Act No. 10173). It is particularly relevant in scenarios involving technology transfers, business partnerships, employee departures, or situations where proprietary information needs protection beyond standard confidentiality agreements. The document typically includes comprehensive definitions of restricted information, specific use prohibitions, security requirements, and enforcement mechanisms suitable for the Philippine jurisdiction.

Suggested Sections

1. Parties: Identification of the parties entering into the agreement, including their legal names, addresses, and company registration details

2. Background: Context of the agreement, relationship between the parties, and purpose of the non-use restrictions

3. Definitions: Detailed definitions of key terms, especially 'Restricted Information', 'Use', and other critical concepts

4. Scope of Non-Use: Specific description of what activities are prohibited and what information is subject to non-use restrictions

5. Duration: Term of the agreement and survival provisions for specific obligations

6. Non-Use Obligations: Detailed obligations regarding non-use of restricted information, including specific prohibited activities

7. Security Measures: Required security measures to prevent unauthorized use or access to restricted information

8. Return or Destruction of Information: Requirements and procedures for returning or destroying restricted information

9. Breach and Remedies: Consequences of breach, including available remedies and enforcement mechanisms

10. General Provisions: Standard contract clauses including governing law, jurisdiction, entire agreement, and amendment procedures

Optional Sections

1. Permitted Uses: Used when certain limited uses of the restricted information are allowed under specific conditions

2. Third Party Obligations: Include when the receiving party needs to ensure third party compliance with non-use obligations

3. Audit Rights: Added when the disclosing party requires rights to audit compliance with non-use obligations

4. Insurance Requirements: Include when specific insurance coverage is required to protect against potential breaches

5. Alternative Dispute Resolution: Optional mechanism for resolving disputes through mediation or arbitration before court proceedings

6. Data Privacy Compliance: Include when the restricted information includes personal data subject to the Data Privacy Act

Suggested Schedules

1. Schedule A - Restricted Information: Detailed list and description of information subject to non-use restrictions

2. Schedule B - Authorized Representatives: List of individuals authorized to handle the restricted information

3. Schedule C - Security Protocols: Detailed security measures and procedures required for protecting restricted information

4. Schedule D - Destruction Procedures: Specific procedures for destroying or returning restricted information

5. Appendix 1 - Form of Destruction Certificate: Template certificate confirming destruction of restricted information

Authors

Alex Denne

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

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Technology

Manufacturing

Healthcare

Financial Services

Education

Research & Development

Pharmaceuticals

Telecommunications

Professional Services

Defense

Energy

Automotive

Relevant Teams

Legal

Compliance

Information Security

Research and Development

Executive Leadership

Risk Management

Human Resources

Intellectual Property

Business Development

Operations

Innovation

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Legal Counsel

Intellectual Property Manager

Chief Technology Officer

Research Director

Business Development Manager

Compliance Officer

Information Security Officer

Risk Manager

Contract Manager

Human Resources Director

Chief Innovation Officer

Project Manager

Operations Director

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