no competencia con clientes
Definition
This is a Spanish-language term for a 'non-compete with customers' clause, which is a contractual promise that one party will not steal or solicit the other party's customers for their own benefit. When you sign an agreement containing this clause, you are legally committing to stay away from doing business with specific clients that belong to the other party. This type of restriction is common in business sale agreements, partnership contracts, and employment deals.
Example
If you sell your bakery to another owner and sign this clause, you are agreeing not to open a new bakery and reach out to your old loyal customers to win their business back.
Watch Out
Always check how long this restriction lasts and which geographic area it covers, because courts can enforce these clauses and prevent you from contacting certain customers even after your business relationship ends.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.