What is the difference between a non-compete and a non-disclosure agreement?

A non-compete agreement and a non-disclosure agreement are two types of contracts used in employment law in Virginia. A non-compete agreement is an agreement between an employer and employee that prevents the employee from working for a competitor for a set period of time after leaving the company. This agreement is designed to protect the employer’s business interests by ensuring the employee won’t use the knowledge gained at the old job to benefit a competitor. On the other hand, a non-disclosure agreement is a contract between two parties that will keep confidential information shared between them from being disclosed to the public. This type of agreement is used when sensitive information is exchanged between an employer and employee, such as trade secrets, business plans, or customer information. So, the main difference between a non-compete agreement and a non-disclosure agreement lies in the purpose of the contract. A non-compete agreement is meant to protect an employer’s business interests by preventing the employee from working for a competitor after leaving a job. A non-disclosure agreement is used to keep confidential information between two parties from being made public.

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What is the difference between a non-compete and a non-disclosure agreement?

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