# Employee Restrictive Covenant Agreement ## Cover Terms The terms below are incorporated into and form part of this agreement. Employer : {employer_name} Employee : {employee_name} Employee Title / Position : {employee_title} Effective Date : {effective_date} Governing Law : {governing_law} Confidentiality Trade Secrets Duration : {confidentiality_trade_secret_duration} Other Confidential Information Duration : {confidentiality_other_duration} Employee Non-Solicitation Duration : {employee_nonsolicit_duration} Covered Employee Period : {covered_employee_period} Customer Non-Solicitation Duration : {customer_nonsolicit_duration} Covered Customer Period : {covered_customer_period} No Business with Covered Customers Duration : {nondealing_duration} Non-Investment Duration : {noninvestment_duration} Passive Public Holdings Passive Public Holdings Threshold : {passive_public_holdings_threshold} Non-Disparagement Duration : {nondisparagement_duration} ## Standard Terms ### Defined Terms [[Competitive Business]] means the business activities described in Cover Terms under Competitive Business. [[Confidential Information]] means non-public information relating to Employer's business, including trade secrets, customer lists, pricing, business processes, technical data, and strategic plans, but excluding information that becomes public through no fault of Employee, information that arises from Employee's general training, knowledge, skill, or experience whether gained on the job or otherwise, information that is readily ascertainable to the public, and information Employee otherwise has a right to disclose as legally protected conduct. [[Covered Customers]] means customers, vendors, referral sources, and business partners with whom Employee had material contact or for whom Employee had responsibility during the 12 months before termination of employment. [[Covered Employees]] means employees with whom Employee worked or whom Employee managed during the 12 months before termination of employment. [[Passive Public Holdings]] means ownership of securities of a publicly traded company representing less than {passive_public_holdings_threshold} of any class of such company's securities, and interests in diversified mutual funds, index funds, and exchange-traded funds that may hold securities of a Competitive Business. [[Protected Interests]] means Employer's legitimate interest in protecting its Trade Secrets, other Confidential Information, confidential customer relationships, and goodwill. Protection from ordinary competition is not a Protected Interest. [[Restricted Period]] means the duration specified in Cover Terms for each covenant, beginning on the date Employee's employment with Employer ends for any reason. [[Restricted Territory]] means the geographic area described in Cover Terms under Restricted Territory. [[Solicit]] means to directly or indirectly initiate contact with, approach, induce, or encourage any person or entity for the purpose of diverting business away from Employer, but does not include responding to general advertisements or unsolicited inquiries not initiated by Employee. [[Trade Secrets]] means information that qualifies as a trade secret under the Rhode Island Uniform Trade Secrets Act, R.I. Gen. Laws § 6-41-1(4), and under applicable federal law, including information that derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable through proper means by, another person who can obtain economic value from its disclosure or use, and that is the subject of reasonable efforts to maintain its secrecy. ### Recitals and Legitimate Interest Employer and Employee acknowledge that each restrictive covenant in this agreement is ancillary to a valid employment relationship. Employee will receive access to Employer's Confidential Information and Trade Secrets and will develop goodwill with Employer's customers in the course of employment. Employer would not provide Employee with access to its Confidential Information and Trade Secrets absent the protections in this agreement. ### Timing and Consideration This agreement is effective as of the Effective Date listed in Cover Terms. Employer and Employee acknowledge that the consideration exchanged for the restrictive covenants in this agreement — which may include the offer or continuation of at-will employment together with training, licensure support, access to Confidential Information and Trade Secrets, or other value — is adequate and is exchanged for those covenants. Employee may consult an attorney before entering into this agreement. ### Confidential Information and Trade Secret Protection Employee must treat all Confidential Information as strictly confidential. Employee must not use or disclose Confidential Information except as required to perform authorized job duties or with Employer's prior written consent. Employee's obligations regarding Trade Secrets continue for the period specified in Cover Terms under Trade Secrets Duration, which is intended to last as long as the information remains a trade secret. Employee's obligations regarding other Confidential Information continue for the period specified in Cover Terms under Other Confidential Information Duration. This section is an agreement not to use or disclose Employer's trade-secret information, including after employment ends, and does not prohibit Employee from using information that arises from Employee's general training, knowledge, skill, or experience, whether gained on the job or otherwise, information readily ascertainable to the public, or information Employee otherwise has a right to disclose as legally protected conduct. ### Permitted Disclosures and Protected Conduct Nothing in this agreement prohibits Employee from: (a) reporting possible violations of law to any government agency, including the Securities and Exchange Commission, the Equal Employment Opportunity Commission, the Occupational Safety and Health Administration, or any other federal, state, or local agency; (b) making disclosures protected under whistleblower provisions of any law; (c) discussing wages, hours, or other terms and conditions of employment as protected by applicable law, including Section 7 of the National Labor Relations Act, 29 U.S.C. § 157; (d) testifying truthfully in legal proceedings; (e) disclosing information that arises from Employee's general training, knowledge, skill, or experience, information readily ascertainable to the public, or information Employee otherwise has a right to disclose as legally protected conduct; or (f) filing a sealed complaint in court using Confidential Information without liability. Pursuant to the Defend Trade Secrets Act (18 U.S.C. § 1833(b)), Employee may not be held criminally or civilly liable for disclosing a trade secret in confidence to a government official or attorney solely for the purpose of reporting or investigating a suspected violation of law, or in a sealed court filing. ### Return, Deletion, and Certification of Company Property Upon termination of employment, Employee must promptly return to Employer all documents, devices, files, credentials, and other materials containing or relating to Confidential Information. Where permitted, Employee must permanently delete electronic copies of Confidential Information from personal devices and accounts. Employee must certify compliance with this section in writing upon Employer's request. ### Non-Solicitation of Employees During the Restricted Period, Employee must not Solicit, recruit, hire, or attempt to hire any Covered Employee. This restriction is limited to initiating contact with or actively soliciting Covered Employees; it does not prohibit Employee from providing a professional reference upon request or from hiring a person who responds to a general advertisement not directed specifically at Employer's employees. This covenant is confined to the Covered Employees class and the Restricted Period. ### Non-Solicitation of Customers, Vendors, Referral Sources, and Business Partners During the Restricted Period, Employee must not Solicit the business of any Covered Customer during the Covered Customer Period. If Employee is a physician or an advanced practice registered nurse, this covenant does not apply to Employee's practice of medicine or advanced practice nursing. ### No Business with Covered Customers During the Restricted Period, Employee must not accept, service, or do business with any Covered Customer, regardless of whether Employee or the Covered Customer first initiated contact. ### Non-Investment During the Restricted Period, Employee must not acquire or hold any active ownership interest in, serve as a director, officer, manager, or advisor to, or have material economic participation in any Competitive Business. The objective exclusions in the Non-Competition section also apply to this restriction. Passive Public Holdings are permitted. ### Non-Disparagement During the Restricted Period specified in Cover Terms for Non-Disparagement, Employee must not make statements that are intended to or reasonably likely to disparage Employer, its officers, directors, employees, products, or services. This section does not restrict Employee from making truthful statements in legal proceedings, providing truthful testimony, making disclosures to government agencies, discussing wages, hours, or working conditions as protected by law, or otherwise exercising rights protected by law. ### Physician and APRN Practice Rights If Employee is a physician licensed to practice medicine, any restriction of Employee's right to practice medicine in this agreement is void and unenforceable with respect to that restriction, and the remaining provisions of this agreement stay in effect (R.I. Gen. Laws § 5-37-33). If Employee is an advanced practice registered nurse, any restriction of Employee's right to practice is likewise void and unenforceable with respect to that restriction, and the remaining provisions stay in effect (R.I. Gen. Laws § 5-34-50). For such a provider, this agreement operates only to the extent it does not restrict that right to practice. ### No Conflicting Obligations Employee represents that performing duties for Employer and complying with this agreement does not conflict with any prior agreement, court order, or legal obligation binding on Employee. Employee must promptly disclose to Employer any potential conflict that arises during employment. ### Notice to Future Employers and Other Third Parties Employer may disclose the existence and terms of this agreement to a prospective employer or business associate of Employee only where a covenant in this agreement is enforceable against Employee under Rhode Island law and Employer has a reasonable belief that Employee may breach that covenant. Employer will not present or attempt to enforce a covenant that is unenforceable against Employee under the Rhode Island Noncompetition Agreement Act or void under §§ 5-37-33 / 5-34-50. Employee consents to a disclosure permitted by this section. ### Tolling During Breach The Restricted Period for each covenant runs from the date Employee's employment ends and is not extended by any period of breach. ### Remedies Employee acknowledges that a breach of this agreement may cause Employer irreparable harm for which money damages would be inadequate, and Employer may seek injunctive or other equitable relief in addition to any other remedies available at law. Employer may also seek an injunction against actual or threatened misappropriation of Employer's Trade Secrets. Any fee-shifting between the parties is mutual and prevailing-party based. ### Enforceability, Severability, and Partial Enforcement If any provision of this agreement is found to be unenforceable, the remaining provisions remain in full force and effect. ### Survival and Expiration of Each Covenant Each restrictive covenant in this agreement survives the termination of Employee's employment for the Restricted Period specified in Cover Terms. Obligations under the Confidential Information and Trade Secret Protection section survive as long as the relevant information remains a trade secret. Each covenant survives independently of the others. All other provisions survive to the extent necessary to enforce rights that arose during employment. ### Assignment and Successors Employee may not assign this agreement or any rights or obligations under it. Employer may assign this agreement to any affiliate, successor, or acquirer of all or substantially all of Employer's business or assets. This agreement is binding on and inures to the benefit of the parties and their respective heirs, successors, and permitted assigns. ### Governing Law, Venue, and Dispute Process This agreement is governed by the law listed in Cover Terms. Rhode Island law and a Rhode Island forum apply to an Employee who lives and works in Rhode Island. All disputes will be resolved in the courts of the Governing Law state, subject to non-waivable rights under applicable law. ### Entire Agreement, Amendment, Waiver, and Electronic Signatures This agreement constitutes the entire agreement between the parties regarding its subject matter and supersedes all prior agreements, understandings, and negotiations on this subject. This agreement may be amended only in writing signed by both parties, and any amendment that changes the scope of a restrictive covenant states which covenant version controls. A party's failure to enforce any provision does not waive that party's right to enforce it later. This agreement may be executed in counterparts, including by electronic signature, each of which is an original. ## Signatures By signing this agreement, each party acknowledges and agrees to the restrictive covenant obligations above. Employee confirms having read and understood each provision, including the Cover Terms. Employer: {employer_name} Signature: _______________ Signatory Name: {employer_signatory_name} Title: {employer_signatory_title} Date: _______________ **Employee** Signature: _______________ Print Name: {employee_name} Date: _______________