Agreement Template / December 5, 2018 / Beatrice Cotton
The agreement template can be used to provide a very specific document that not only outlines exactly what is covered under the agreement but will go into great detail regarding the penalties for a breach of confidentiality. This formula is used to ensure that there is absolutely not chance of any misunderstandings on behalf of either the employee or the employer. Once signed this agreement becomes a legally binding contract that can be used in a court of law. You can pay a lawyer to draw up this agreement if you are a large company that has a big enough budget to cover the costs but this is not necessary as you can do it for yourself. You can of course write out your own agreement using one of the many different templates that are available for download online. Both of these documents are completely binding in a court of law the difference is the amount of money you are going to have to spend.
This form is used to ensure that the new employee will agree not to discuss anything he sees or learns while he is in the employ of the company and in many cases long after. Most companies use a confidentiality agreement template to make creating this form much easier. The confidentiality agreement is in many ways the equivalent of a non-disclosure agreement in that it is intended to protect the company from the loss of any confidential information or intellectual property. While the two agreements may be similar in nature you will find that the major difference between the two are the penalties should an employee breach the contract and divulge any confidential information. The more serious penalties are reserved for a confidentiality agreement and can result in criminal lawsuits and very large fines if not prison sentences.
A good form will have some empty lines to write specifics about the job role in case the basic agreement doesnt cover them. Another benefit is the clear reduction in legal liability that a business can achieve by using a simple employment agreement template. When you have clear requirements for both parties written in a signed document this eliminates a lot of the ambiguity and costs associated with lawyers and courts if you are ever sued by a current or former employee (or worse yet the employees union). As long as the agreement follows the law and the employee was competent at the time of signing most courts will honor its terms. This can get you out of a very expensive situation! On the other hand a detriment of using a pre-written template is that it may not handle more complex jobs or specific types of contract projects where there are a lot of detailed deliverables.