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Non-Compete/Confidentiality Agreement

At a glance

Price
Free
Stamp duty
Print it on plain paper.
Registration
Not registrable.
Witnesses
Not a statutory requirement, but this Agreement is drafted to be executed before two witnesses as a matter of good practice, since a restrictive covenant is more likely to be relied on later than an ordinary letter is.

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Also called

  • Confidentiality and Non-Compete Agreement
  • Employee Confidentiality Agreement
  • Restrictive Covenant Agreement
  • NDA with Employee
  • Gopniyata Samjhauta
  • ਗੁਪਤਤਾ ਇਕਰਾਰਨਾਮਾ
  • गोपनीयता समझौता
  • प्रतिस्पर्धा-निषेध समझौता

When you need it

A stand-alone covenant to protect the Company's confidential information, client relationships and staff, signed by an employee alongside their Offer Letter, Appointment Letter or Employment Agreement — typical for a role with access to client lists, pricing, source code, designs or other sensitive business information, at a Punjab or Chandigarh workplace. Binds the employee to confidentiality during and after employment, assigns work-product intellectual property to the Company, restrains the employee from competing while still engaged, and restrains soliciting the Company's staff or clients for a stated period after the engagement ends.

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Deliberately does not purport to stop the employee from taking up competing work once they have left — that restraint is not enforceable under Indian law outside exceptions this employment does not fall within, and the Agreement says so rather than printing a clause a court would refuse to enforce. Not a complete contract of employment by itself — pair it with the Appointment Letter or the Employment Agreement, which state the job's actual terms.

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You can fill this one in on this site, and read the whole draft on screen before you decide anything about it. It is a carefully drafted template; it is not advice about your own facts.

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What follows is written for Punjab and Chandigarh. It states the position there rather than describing how it varies, so the amounts below are the ones that apply — worth confirming at the sub-registrar’s office, because rates change. If the property is anywhere else in India, none of this is yours.

Stamp duty

Print it on plain paper. A confidentiality and restrictive-covenant agreement of this kind is not an instrument the Indian Stamp Act, 1899 charges with ad valorem duty under its general "Agreement" entries, whether executed in Punjab or in the Union Territory of Chandigarh, and no stamp paper is needed for it in either.

Registration

Not registrable. Section 17 of the Registration Act, 1908 reaches instruments creating or transferring an interest in immovable property, or specific instruments such as leases — this Agreement is neither, in Punjab or in Chandigarh.

Notarisation

Not required. Execution by both parties before two witnesses is enough to record the Agreement; a notary adds nothing beyond what the witnesses already do.

Witnesses

Not a statutory requirement, but this Agreement is drafted to be executed before two witnesses as a matter of good practice, since a restrictive covenant is more likely to be relied on later than an ordinary letter is. Both witnesses should be adults, not parties to the Agreement.

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NON-COMPETE AND CONFIDENTIALITY AGREEMENT

This Non-Compete and Confidentiality Agreement (this "Agreement") is made at S.A.S. Nagar (Mohali) on 1 April 2026, effective from 2 April 2026.

BETWEEN

Northline Analytics Private Limited, a company incorporated under the Companies Act, 2013, of Plot No. 8, Phase 8-B, Industrial Area, S.A.S. Nagar (Mohali) 160055, acting through Rohit Nair, Director, authorised by board resolution dated 4 March 2026 (the "Company");

AND

Simran Kaur Dhillon, son/daughter/wife of Gurdeep Singh Dhillon, of House No. 214, Sector 15-A, Chandigarh 160015, employed by or engaged to be employed by the Company as Senior Business Analyst (the "Employee").

The Company and the Employee are each a "Party" and together the "Parties".

RECITALS

A. In the course of the Employee's employment, the Employee will have or come to have access to the Company's confidential business information, client relationships and staff.

B. This Agreement is entered into alongside, and not instead of, the letter or agreement recording the terms of the Employee's employment.

NOW THIS AGREEMENT WITNESSES AS FOLLOWS.

  1. 1. CONFIDENTIAL INFORMATION. "Confidential Information" means all non-public information about the Company's business that the Employee learns in the course of employment, including client and vendor lists and contracts, pricing, financial information, business and marketing plans, processes, software, technical documentation and trade secrets, and in particular: client contracts and pricing, marketing and business strategy, unreleased product designs, source code and technical documentation, financial statements.
  1. 2. CONFIDENTIALITY OBLIGATION. The Employee shall keep all Confidential Information confidential, shall not use it for any purpose outside the proper performance of their duties to the Company, and shall not disclose it to any person outside the Company, both during the employment and indefinitely after it ends, except information that becomes public other than through the Employee's breach of this Agreement, or that the law compels the Employee to disclose.
  1. 3. INTELLECTUAL PROPERTY. All work product, inventions, designs, records and material the Employee creates in the course of employment, or using the Company's resources or Confidential Information, belong to the Company, and the Employee shall sign such further document as the Company reasonably requires to record that.
  1. 4. EXCLUSIVITY WHILE ENGAGED. While employed by the Company, the Employee shall not, directly or indirectly, engage in, be employed by, consult for, or hold any interest in, any business competing with the Company's business, without the Company's prior written consent. This restriction applies only for so long as the employment continues.
  1. 5. AFTER THE EMPLOYMENT ENDS. This Agreement does not restrain the Employee from taking up competing employment or business after the employment ends. Section 27 of the Indian Contract Act, 1872 renders a restraint of trade void outside narrow statutory exceptions that do not extend to an ordinary contract of employment, and a clause purporting to bind the Employee not to compete after leaving would not be enforced. What continues to apply after the employment ends is clause 2 (confidentiality, without limit of time) and clause 6 (non-solicitation, for the period stated there).

Questions about this document

Does the Non-Compete/Confidentiality Agreement need stamp paper or stamp duty in Punjab and Chandigarh?

Print it on plain paper.

See the full position on stamp duty, registration and witnesses
Does the Non-Compete/Confidentiality Agreement need registration in Punjab and Chandigarh?

Not registrable.

See the full position on stamp duty, registration and witnesses
What does the Non-Compete/Confidentiality Agreement cost on Kagaznama?

Free.

Documents are free. Only kits are paid.

Does the Non-Compete/Confidentiality Agreement need witnesses?

Not a statutory requirement, but this Agreement is drafted to be executed before two witnesses as a matter of good practice, since a restrictive covenant is more likely to be relied on later than an ordinary letter is.

See the full position on stamp duty, registration and witnesses

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