Noncompete Compensation Clause Samples
The Noncompete Compensation clause defines the financial or other consideration provided to an individual in exchange for agreeing not to engage in competing activities with the employer or business. Typically, this compensation may take the form of a lump sum payment, ongoing salary, or other benefits during the restricted period, and it applies to situations where an employee or contractor is restricted from working for competitors or starting a similar business. The core function of this clause is to ensure that the noncompete agreement is enforceable by providing fair value to the restricted party, thereby addressing concerns about fairness and legal validity.
Noncompete Compensation. “Noncompete Compensation” shall (i) be payable if (but only if) Executive’s employment is terminated by any of the Company Parties without Cause or Executive resigns with Good Reason, (ii) subject to clause (i) above, be payable in accordance with the customary payroll practices of the Company during the period beginning the day after the date of Executive’s termination of employment with the Company Parties and ending on the first anniversary of such date of termination and (iii) subject to clause (ii) above, be paid at a rate equal to 100% of the annual rate in effect immediately prior to Executive’s termination of employment.
Noncompete Compensation. 7 1.49 Permitted Liens ...................................7 1.50 Person ............................................7 1.51
Noncompete Compensation. Noncompete Compensation" shall mean the cash compensation to be paid to each Shareholder at closing, pursuant to such Shareholder's Noncompetition Agreement, as consideration for the Shareholder's covenant not to compete set forth in such Noncompetition Agreement.
Noncompete Compensation. As compensation for entering into the noncompete provided hereunder, the Company shall pay to Irish a fee in a single sum payable upon execution of this Agreement in the amount of $1,000,000.
Noncompete Compensation. As compensation for entering into the noncompete provided hereunder, the Company shall pay to ▇▇▇▇▇▇▇ a fee in a single sum payable upon execution of this Agreement in the amount of $4,000,000.
Noncompete Compensation. “Noncompete Compensation” shall (i) be payable if (but only if) (A) Executive does not commence employment with any of the Company Parties on or before May 1, 2000 as a result of a Company Refusal or (B) Executive commences employment with any of the Company Parties on or before May 1, 2000 and Executive’s employment is terminated by any of the Company Parties without Cause or Executive resigns with Good Reason, (ii) subject to clause (i) above, be payable in accordance with the customary payroll practices of the Company during the period beginning the day after the date of Executive’s termination of employment with the Company Parties and ending on the first anniversary of such date of termination and (iii) subject to clause (ii) above, be paid at a rate equal to 100% of the annual rate in effect immediately prior to Executive’s termination of employment.
Noncompete Compensation