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Non Compete Non Solicitation Agreement

Non Compete Non Solicitation Agreement Template for Switzerland

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Key Requirements PROMPT example:

Non Compete Non Solicitation Agreement

"I need a Swiss law Non-Compete Non-Solicitation Agreement for our departing Chief Technology Officer who has extensive knowledge of our proprietary software and client relationships; the restriction period should be 12 months and cover the DACH region."

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Document background
This Non-Compete Non Solicitation Agreement is essential for Swiss employers seeking to protect their legitimate business interests, trade secrets, and customer relationships. It is particularly relevant when employees have access to sensitive information or deep client relationships that could harm the business if used by competitors. The agreement must be carefully drafted to comply with Swiss law, specifically Articles 340-340c of the Swiss Code of Obligations, which requires restrictions to be reasonable in scope and supported by legitimate business interests. Typically used for key employees, senior management, and technical specialists, the document includes detailed provisions on restricted activities, geographical scope, duration, and any compensation for the restrictions. The agreement should balance the employer's need for protection with the employee's constitutional right to economic freedom under Swiss law.
Suggested Sections

1. Parties: Identification of the contracting parties (typically employer and employee/former employee)

2. Background: Context of the agreement, including the employment relationship and legitimate business interests being protected

3. Definitions: Key terms used in the agreement, including 'Confidential Information', 'Competing Business', 'Restricted Territory', 'Restricted Period', etc.

4. Non-Compete Obligations: Detailed restrictions on competitive activities, including scope, duration, and geographical limitations as per Swiss CO Articles 340-340c

5. Non-Solicitation Obligations: Restrictions on soliciting employees, customers, and business partners

6. Duration and Geographic Scope: Specific timeframe and territorial limits of the restrictions, ensuring compliance with Swiss law requirements

7. Consideration: Compensation or benefits provided in exchange for the restrictions

8. Exceptions and Permitted Activities: Activities explicitly allowed despite the general restrictions

9. Acknowledgments: Employee's confirmation of reasonableness and understanding of restrictions

10. Remedies: Consequences of breach, including any contractual penalties (Konventionalstrafe) and injunctive relief

11. General Provisions: Standard clauses including severability, governing law, and jurisdiction

12. Execution: Signature blocks and date of agreement

Optional Sections

1. Garden Leave: Used when the agreement includes provisions for paid non-compete period immediately following employment

2. Post-Employment Cooperation: Include when ongoing cooperation is needed for transition or knowledge transfer

3. Return of Company Property: Add when there are specific items or information to be returned

4. Independent Legal Advice: Include when emphasizing the employee's opportunity to seek legal counsel

5. Monitoring and Reporting: Used when the employer requires periodic confirmation of compliance

6. Waiver Conditions: Include when specifying circumstances under which the employer may waive restrictions

7. Special Compensation Structure: Add when compensation for the non-compete is structured in installments or has special conditions

Suggested Schedules

1. Schedule 1 - Restricted Territory: Detailed list or map of geographical areas covered by restrictions

2. Schedule 2 - Competitor List: Specific companies or business types considered competitors

3. Schedule 3 - Protected Customers: List of customers covered by non-solicitation provisions

4. Schedule 4 - Compensation Details: Breakdown of any compensation specifically related to the restrictions

5. Appendix A - Confidential Information Categories: Detailed categorization of protected confidential information

6. Appendix B - Employee's Position and Access: Description of employee's role and access to justify restrictions

Authors

Alex Denne

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Agreement
Affiliated Company
Business
Competing Business
Confidential Information
Customer
Effective Date
Employee
Employer
Group
Group Company
Intellectual Property Rights
Material Interest
Prospective Customer
Protected Business
Restricted Area
Restricted Business
Restricted Customer
Restricted Period
Restricted Person
Restricted Products/Services
Restricted Territory
Termination Date
Trade Secrets
Territory
Key Personnel
Business Partner
Professional Advisor
Competitive Activity
Compensation
Contractual Penalty
Garden Leave
Notice Period
Protected Information
Restricted Activities
Supplier
Business Contact
Relevant Capacity
Commercial Relationship
Material Connection
Relevant Industries

Technology

Financial Services

Pharmaceutical

Manufacturing

Professional Services

Biotechnology

Insurance

Banking

Consulting

Software Development

Research and Development

Healthcare

Telecommunications

Engineering

Consumer Goods

Relevant Teams

Human Resources

Legal

Executive Leadership

Sales

Business Development

Research & Development

Product Development

Client Relations

Operations

Information Technology

Engineering

Marketing

Finance

Strategy

Professional Services

Relevant Roles

Chief Executive Officer

Chief Technology Officer

Chief Financial Officer

Senior Software Engineer

Sales Director

Account Manager

Research Scientist

Product Manager

Business Development Manager

Technical Lead

Senior Consultant

Head of Operations

Regional Manager

Investment Manager

Senior Relationship Manager

Principal Engineer

Department Head

Vice President

Managing Director

Chief Marketing Officer

Industries
Swiss Code of Obligations (CO) Articles 340-340c: Core provisions governing post-contractual non-compete agreements, including validity requirements, limitations, and termination conditions
Swiss Constitution Article 27: Fundamental right to economic freedom which impacts the scope and enforceability of non-compete restrictions
Swiss Federal Supreme Court Decision BGE 138 III 67: Leading case law on geographical and temporal limitations of non-compete clauses
Swiss Code of Obligations Article 328b: Provisions regarding the handling of employee data and privacy considerations in employment relationships
Swiss Federal Act on Cartels and Other Restraints of Competition: Relevant for ensuring non-compete provisions do not violate competition law principles
Swiss Code of Obligations Article 321a: Duty of loyalty during employment relationship, which forms the basis for non-solicitation obligations
Swiss Civil Code Article 2: Principle of good faith which applies to the interpretation and enforcement of non-compete and non-solicitation provisions
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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