No-Solicitation Agreement prohibits:

No-Solicitation Agreement prohibits:

• A. Not to solicit the business of specified customers
• B. Not to compete in a market
• C. Not to hire away employees
• D. Not to disclose confidential information

Answer: (A)

A no-solicitation clause is about protecting the employer’s customer relationships by restricting attempts to solicit the employer’s clients. It’s designed to prevent a former employee or departing party from reaching out to the employer’s listed customers to move their business elsewhere. That’s why the idea of not soliciting the business of specified customers fits this provision best. Non-compete restrictions (not to compete in a market) go beyond solicitation and limit overall competitive activity, which is a different kind of restriction. A prohibition on hiring away employees would be a non-solicitation of employees, which can be included but is a separate focus from soliciting customers. Not disclosing confidential information is governed by a confidentiality or nondisclosure agreement, not by a no-solicitation clause.

A no-solicitation clause is about protecting the employer’s customer relationships by restricting attempts to solicit the employer’s clients. It’s designed to prevent a former employee or departing party from reaching out to the employer’s listed customers to move their business elsewhere. That’s why the idea of not soliciting the business of specified customers fits this provision best.

Non-compete restrictions (not to compete in a market) go beyond solicitation and limit overall competitive activity, which is a different kind of restriction. A prohibition on hiring away employees would be a non-solicitation of employees, which can be included but is a separate focus from soliciting customers. Not disclosing confidential information is governed by a confidentiality or nondisclosure agreement, not by a no-solicitation clause.