Non Circumvention Clause Revision

Summary

A non-circumvention clause in an NDA between an investor/developer and an operating partner should prevent competition and ensure financial damages for breaches. In New York, consequences for breaching such a clause may include monetary damages, injunctive relief, specific performance, and attorneys fees if stipulated. The monetary damages depend on the financial loss and contract terms. The revised clause should specify that any breach, such as soliciting business contacts without consent, will result in the breaching party being responsible for financial damages, including potential lost profits. Consulting a local attorney can provide specific guidance tailored to your situation.

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it shhould not be about fees. should be about any act that might prevent diclosing party from winning the site or comepeting against the disclosing party should be disallowed by this provision
To refine the non-circumvention clause focusing on preventing competition rather than fees, consider the following revision:
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*. During the term of this Agreement, neither party shall solicit or engage with business contacts introduced or referred by the Disclosing Party, specifically related to the evaluation or acquisition of the specified site for assisted living, without the Disclosing Party's written consent. Any action that prevents the Disclosing Party from securing the site or competes against them in this regard shall be deemed a breach of this provision.
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Feel free to make additional modifications as necessary!
what could be the consequence for breach?
In Virginia, the consequences of breaching a non-circumvention clause in an NDA could include:
- Monetary damages: Compensation for any financial losses incurred.
- Injunctive relief: A court order preventing further breaches.
- Specific performance: Enforcing the terms of the agreement.
- Attorney's fees: Payment of legal costs, if stipulated in the contract.
Consider consulting a local attorney for specific advice tailored to your situation.
it's for NY state
Case Rating: *
For a non-circumvention clause breach in New York, potential consequences may include:
- Monetary damages for financial losses.
- Injunctive relief to prevent further breaches.
- Specific performance to enforce the agreement.
- Attorney's fees if included in the contract.
Consider consulting a local attorney for precise advice tailored to your needs in NY.
how much could damages monetary payment be?
Case Rating: *
The monetary damages for breaching a non-circumvention clause can vary widely. It typically depends on the financial loss suffered due to the breach, the terms specified in the contract, and any potential profits lost. Consulting with a local attorney can help in estimating the damages specific to your case.
revise and add that if they breach they are responsible for financial damages etc
Case Rating: *
To revise the clause and include responsibility for financial damages, consider this version:
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*. During the term of this Agreement, neither party shall solicit or engage with business contacts introduced or referred by the Disclosing Party, specifically related to the evaluation or acquisition of the specified site for assisted living, without the Disclosing Party's written consent. Any action that prevents the Disclosing Party from securing the site or competes against them in this regard shall be deemed a breach of this provision. In the event of such a breach, the breaching party shall be responsible for any financial damages incurred by the Disclosing Party, including potential profits lost as a result of the breach.
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Feel free to customize any specific terms based on your needs!