Employee Restrictive Covenant Agreement
Cover Terms
The terms below are incorporated into and form part of this agreement.
| Employer | [Legal name of the entity that employs the employee] | ||||||||
| Employee | [Full legal name of the employee] | ||||||||
| Employee Title / Position | |||||||||
| Effective Date | [Effective date of this agreement — the date the last party signs. It anchors the duration presumptions stated in Cover Terms.] | ||||||||
| Governing Law | Oklahoma | ||||||||
| Venue | the state courts located in OklahomaState-law basis the state courts located in OklahomaReference only — not part of this agreement. Select a forum permitted by the non-waivable law applicable to the employee. | ||||||||
| Confidentiality | |||||||||
| Trade Secrets Duration | Perpetual | ||||||||
| Other Confidential Information Duration | 24 months | ||||||||
| Customer Non-Solicitation | |||||||||
| Duration | 12 monthsState-law basis 12 monthsReference only — not part of this agreement. 12 months sits well inside the presumptively reasonable window for a current-customer non-solicit: eighteen months, or for as long as post-separation consideration is paid, whichever is greater. Counsel may extend toward eighteen months, or longer while post-separation consideration is paid, where the interest supports it. | ||||||||
| Covered Customer Look-Back | 12 months | ||||||||
| Employee Non-Solicitation | |||||||||
| Duration | 24 monthsMarket benchmark HideShow
Why this selected default?Why is this the selected default?24 months matches the modal employee non-solicit term observed in benchmarked, publicly-filed employee agreements; 12 months is the common lighter alternative. The Act sets no express duration presumption for the no-hire category, so the uniquely-essential scope limit does the primary category work; counsel should size the term to the workforce interest actually protected. Showing 3 representative examples. Company names link directly to the underlying SEC filing.
Showing 3 representative examples. Company names link directly to the underlying SEC filing.
Showing 3 representative examples. Company names link directly to the underlying SEC filing.
Showing 3 representative examples. Company names link directly to the underlying SEC filing. See all 3 examples in the complete benchmark →Showing 1 representative example. Company names link directly to the underlying SEC filing. See all 1 example in the complete benchmark →Showing 1 representative example. Company names link directly to the underlying SEC filing. See all 1 example in the complete benchmark →Showing 1 representative example. Company names link directly to the underlying SEC filing. See all 1 example in the complete benchmark →Showing 1 representative example. Company names link directly to the underlying SEC filing. See all 1 example in the complete benchmark →Showing 1 representative example. Company names link directly to the underlying SEC filing. See all 1 example in the complete benchmark → | ||||||||
| Covered Employee Look-Back | 12 months | ||||||||
| Non-Disparagement | |||||||||
| Duration | 24 months |
Standard Terms
1. Defined Terms
“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.
“Covered Customers” means only established customers of Employer from whom Employee solicited, with whom Employee had material contact, or for whom Employee had responsibility during the 12 months before termination of employment. Covered Customers do not include prospective customers or former customers.
“Covered Employees” means those employees and independent contractors of Employer with whom Employee worked, or whom Employee supervised or managed, during the 12 months before termination of employment. This defined class is bounded to colleagues Employee actually worked with rather than Employer's workforce generally.
“Protected Interests” means Employer's trade secrets, Confidential Information, company property, legally protected business information, and Employer's relationships with its established Covered Customers and its workforce.
“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.
“Direct Solicitation” means for Employee personally to initiate contact with, approach, induce, or encourage a Covered Customer for the purpose of selling to that Covered Customer goods or services, or a combination of goods and services, of the kind Employer provides, and thereby diverting that customer's business away from Employer. Direct Solicitation does not include indirect solicitation, passively receiving or responding to an inquiry that Employee did not initiate, responding to a general advertisement or an unsolicited approach, or continuing to serve a Covered Customer who follows Employee without any initiating contact by Employee.
“Solicit Employees” means for Employee, directly or indirectly, actively or inactively, to solicit, recruit, or induce a Covered Employee to leave Employer and to become an employee or independent contractor of another person or business. Solicit Employees does not include hiring a Covered Employee who applies on the Covered Employee's own initiative without any solicitation by Employee.
“Trade Secrets” means information that qualifies for protection as a trade secret under applicable law, including by the Oklahoma Uniform Trade Secrets Act, 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.
2. Timing and Employee Acknowledgements
Employee acknowledges that the confidentiality, company-property, non-disparagement, and non-solicitation obligations in this agreement protect Employer's Protected Interests. Nothing in the customer or employee non-solicitation covenants bars Employee from working for a competitor or engaging in the same or a similar business as Employer. This agreement does not impose a covenant not to compete. This agreement is effective as of the Effective Date listed in Cover Terms. If Employee signs this agreement after Employee's employment with Employer has begun, Employer agrees to provide Employee fresh and identifiable consideration beyond continued employment, as recited or referenced in Cover Terms or in a separate writing. Employee acknowledges having had the opportunity to consult with independent legal counsel before signing this agreement.
3. 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 in perpetuity, for as long as the information remains a trade secret, as reflected in the Trade Secrets Duration in Cover Terms. Employee's obligations regarding other Confidential Information continue for the Other Confidential Information Duration specified in Cover Terms. These confidentiality and trade-secret protections must not be applied so broadly that observing them would effectively bar Employee from practicing Employee's occupation or working for another employer.
4. 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 Section 7 of the National Labor Relations Act, 29 U.S.C. § 157; (d) testifying truthfully in legal proceedings; or (e) 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.
5. 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.
6. Non-Solicitation of Customers
During the Restricted Period specified in Cover Terms for Customer Non-Solicitation, Employee must not engage in Direct Solicitation of any Covered Customer. This covenant does not prohibit Employee from working for a competitor, competing with Employer generally, or doing business with a Covered Customer who approaches Employee without any Direct Solicitation by Employee.
Drafting Note Customer non-solicitation
Limit a customer non-solicitation clause to direct solicitation of established customers, and do not add indirectly, prospective customers, or former customers. Oklahoma courts will void the whole provision rather than blue-pencil the extra words out of it .
7. Non-Solicitation of Employees
During the Restricted Period specified in Cover Terms for Employee Non-Solicitation, Employee must not Solicit Employees as that term is defined. This covenant does not prohibit Employee from providing a professional reference on request, hiring a Covered Employee who applies on the Covered Employee's own initiative without solicitation by Employee, or working for a competitor.
Drafting Note Employee solicitation
Section 219B authorizes restrictions on soliciting employees, not a flat no-hire ban. A clause that purports to stop a former employee from hiring a colleague who applies on their own initiative — without any solicitation — is on far weaker ground, because it reaches beyond the solicitation the statute protects .
8. 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 other terms and conditions of employment as protected by Section 7 of the National Labor Relations Act, 29 U.S.C. § 157, or otherwise exercising rights protected by law.
9. 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, including any restrictive covenant from a prior relationship, before Employee's first contact with any Covered Customer.
10. Notice to Future Employers and Other Third Parties
Employer may disclose the existence and terms of Employee's confidentiality, trade-secret, return-of-property, non-disparagement, customer non-solicitation, and employee anti-raiding obligations under this agreement to any prospective employer or business associate of Employee if Employer has a reasonable belief that Employee may breach those obligations. Any such disclosure is limited to the covenants that survive under Oklahoma law and does not extend to any covenant not to compete, which this agreement does not contain. Employee consents to this disclosure.
11. Remedies
Employee acknowledges that a breach of this agreement may cause Employer irreparable harm for which money damages would be inadequate. Employer may seek injunctive or other equitable relief and any other remedies available under applicable law. If a party prevails in an action to enforce a lawful obligation under this agreement, the non-prevailing party must reimburse the prevailing party's reasonable attorney's fees and costs to the extent permitted by applicable law.
12. Enforceability and Severability
If any provision of this agreement is found to be unenforceable, the remaining provisions remain in full force and effect.
13. 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 for the Trade Secrets Duration specified in Cover Terms to the extent they relate to trade secrets, and for the Other Confidential Information Duration specified in Cover Terms for other Confidential Information. All other provisions survive to the extent necessary to enforce rights that arose during employment. Nothing survives that this agreement does not lawfully contain, including any covenant not to compete.
14. 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. Assignment does not expand the scope or duration of any covenant.
15. Governing Law, Venue, and Dispute Process
This agreement is governed by the law listed in Cover Terms. Any dispute arising under or relating to this agreement is subject to the venue listed in Cover Terms.
16. 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, whether written or verbal. This agreement may be amended only in writing signed by both parties. 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: [Legal name of the entity that employs the employee]
Signature:
Signatory Name: [Full name of the authorized signatory signing for the employer]
Title: [Title of the authorized signatory signing for the employer]
Date:
Employee
Signature:
Print Name: [Full legal name of the employee]
Date: