Understanding Non-Solicitation Agreements In Calgary, Alberta
People often misunderstand non-solicitation agreements. They are different than non-competition agreements. A non-competition agreement keeps someone from competing with your business. A non-solicitation agreement keeps someone from soliciting your clients or employees. The non-solicitation agreement lawyers at Kahane Law Office in Calgary, Alberta have the experience to help you protect your business. Watch our video for more information on non-solicitation agreements in Alberta.
What is a Non-Solicitation Agreement?
A non-solicitation agreements is exactly what it sounds like. Solicitation means asking or requesting. It is an agreement that keeps employees or contract workers of a business from asking or requesting your existing clients to move their business to another company. A non-solicitation agreement also restricts the solicitation of company employees to change to a new employer. A non-solicitation clause (instead of a separate agreement) may also be inserted into a contract or employee agreement.
How Enforceable Are Non-Solicitation Agreements?
In many cases a non-solicitation agreement is more enforceable than a non-competition agreement. The courts do not support agreements that keep people from earning a living in their regular job. a non-competition agreement prevents that. A non-solicitation agreement lets them earn a living, they just cannot solicit clients or employees from their previous employer. To be enforceable, there needs to be restrictions of time (such as for one year) and the terms cannot be unreasonable.
What A Non-Solicitation Contract Does Not Protect?
A non-solicitation agreement, in Alberta, cannot protect against the former employee or contractor from accepting clients of your company. A non-solicitation agreements only protects against that person from approaching or soliciting business in any way. If a client decided on their own to find the former employee and use their services, that is not a breach of the agreement.
Types of Situations Where You Should Invest In A Non-Solicitation Agreement
In order to protect your business, the following are examples of situation where you should invest in a non-solicitation agreement. This may be a term in a contract you have the person sign or a stand alone agreement. Examples of who or when you should have one include:
- With all employees
- With any contract worker
- With any consultant retained
- On disclosing client lists to prospective buyers
Getting the Non-Solicitation Agreement Help You Need
Non-solicitation agreements are complex documents that must be drafted very carefully to protect the future of your business. Professional and experienced guidance is worth the low investment. The non-solicitation agreement lawyers at Kahane Law Office can help with your non-solicitation agreement legal requirements. CONNECT NOW. We can be reached toll-free at 1-877-225-8817 (or 403-225-8810 locally in Calgary, Alberta), or email us directly here.