Restrictive covenants come in many forms; they can be stand-alone agreements, such as a confidentiality agreement, or they can be included in various types of contracts, such as noncompete or nonsolicitation provisions in employment contracts, asset purchase agreements or stock purchase agreements.
Many industries that rely on relationships to generate sales utilize restrictive covenants to protect these relationships. Further, companies often rely on restrictive covenants to protect trade secrets and confidential information integral to those particular businesses’ operations.
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