Whenever any employment agreement is formed Between the parties, they should remain within the jurisdiction and comply with all the obligations as per the clauses that are mentioned in the employment agreement. An employment agreement consists of an offer or proposal, acceptance, consideration, the competent parties. Other important clauses are the title of the position offered, benefits, Social Security benefits, vacations and leaves, confidentiality or non-disclosure clauses, a non-compete clause, remove narration, termination, reimbursement of expenses, disability close, and dispute resolution clause.

An employment Agreement should have Certain important terms and both employee and employer Should have identical copies of the employment agreement. An employment agreement should contain the details of parties to the contract, the date of commencement of the work, place of work, jurisdiction and the laws governing the agreement, the validity of the contract, the duties and obligations of an employee, Probationary period, duration of a probationary period, working hours, Annual holiday, a period of notice, and most importantly job description and designation.

The legitimate interest of business and avoid competition a restrictive clause is added in the employment agreement, the restricted cross will restrict an ex-employee from using any Confidential information which upon being publicized can be detrimental for the employer and the company, Sachin formation include business strategy, customer details, trading details etcetera. This class should be drafted after considering certain factors such as time length, geographical area, the type of information that needs to be protected.

Section 27 of the Indian contract act deals with the non-compete clause, this too is one of the important clauses in The employment agreement. Section 27 talks about the legality of the non-compete clause and states that any agreement which restrains a person from exercising any trade or business or any lawful profession is void. Hence the burden of proof lies on whoever claims to uphold the non-compete clause and explains the extent to which this non-compete clause can uphold. The section talks about partial restrain and not a complete restraint.

A non-disclosure clause our confidentiality clause is also a must in an employment agreement. It protects sensitive information of a company, like trade secrets of a company or any information that should be kept confidential from the public. A separate agreement can also be drafted, that agreement is known as a non-disclosure agreement, to execute the purpose of confidentiality. Disclose assures the business that the employees that have been hired will not expose any confidential or sensitive information to the competitors of the business in the market.

Non-solicitation covenants are also included in an employment agreement, they can be included in a separate agreement such as a non-disclosure agreement or non-compete agreement, or they can be drafted separately. This states that once an employee leaves the org he cannot advise the client of the organization where he was previously working.

This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being.