Non-Solicitation Agreement

What Is a Non-Solicitation Agreement?

A non-solicitation agreement is a legal contract that restricts employees from recruiting their employer’s clients or customers after leaving the company. Some agreements also include the recruitment of other employees. The typical agreement covers a particular geographic area and period of time.

Understanding Non-Solicitation Agreements

An employer can present a non-solicitation agreement to a worker for their signature at any time during their employment. For example, some companies include them as part of the hiring process as part of their employment contract, while others may introduce the agreement as part of a severance package.

A company also might ask an employee to sign a non-solicitation agreement during a restructuring or sale of the business.