Requirements and restraints Sample Clauses

Requirements and restraints. The Distributor must: a [meet or exceed the Minimum Requirements]; [User note: Delete if no Minimum Requirements apply.] b avoid entering into any arrangement which would result in a conflict of interest with its obligations under the Agreement, including distributing or reselling any product that competes with a Product; and c without limiting clause 7.2b, during the term of the Agreement and for a period of 6 months after its termination or expiry, not directly or indirectly operate or otherwise be involved in a business that competes with the Company’s business or the Products, whether as a principal, employee, partner, agent, shareholder or however else. [User note: If the Distributor is a company and there is a risk of the Distributor’s directors and/or key personnel taking advantage of this arrangement to compete with the Company, consider seeking an undertaking from those individuals in which they personally agree to the restraint and confidentiality provisions in the Agreement. This is particularly important for “one man band” companies. Otherwise, an individual could claim that he or she is not bound by the restraint and confidentiality provisions (i.e. only the contracting company is bound). To bind the individual, confirmation in the form of a deed (or similar) should be signed before or at the same time as the Agreement. See an example of this in the Kindrik Partners template “Independent Contractor Agreement”.]