In a Non-Compete Agreement the Term Ancillary Means That Quizlet
When it comes to non-compete agreements, the term „ancillary” is often used to describe certain provisions within the agreement. In the context of a non-compete agreement, ancillary means those clauses or sections that are considered subordinate or secondary to the main purpose of the agreement.
A non-compete agreement is a legal document that restricts an employee from working for a competitor or starting a business that competes with the employer`s business for a certain period of time after leaving the company. Ancillary provisions, on the other hand, are clauses that support or facilitate the main purpose of the agreement.
For example, an ancillary provision in a non-compete agreement may include a confidentiality clause, which prohibits an employee from disclosing or using any confidential information about the employer`s business. This clause is essential because it helps protect the employer`s trade secrets, intellectual property, and other confidential information.
Another common ancillary provision in a non-compete agreement is a non-solicitation clause. This clause prohibits an employee from soliciting the employer`s clients, customers, or other employees for a certain period of time after leaving the company. This clause is important because it helps prevent the employee from taking away the employer`s customers or employees, which could harm the company`s business.
Other ancillary provisions that may be included in a non-compete agreement may relate to the scope of the non-compete, the geographic area where the employee is prohibited from working, or the duration of the non-compete. These provisions are designed to support and facilitate the main purpose of the agreement, which is to protect the employer`s business interests.
In conclusion, when you come across the term „ancillary” in a non-compete agreement, it refers to those provisions that are subordinate or secondary to the main purpose of the agreement. These provisions are designed to support and facilitate the main purpose of the agreement, which is to protect the employer`s business interests. As an employee, it`s essential that you read and understand all the terms and provisions of a non-compete agreement before signing it. And as an employer, it`s crucial to ensure that the non-compete agreement contains all the necessary ancillary provisions to protect your business interests.