non-circumvention

Definition

A non-circumvention clause is a promise you make in a contract that you won't go around the other person to cut them out of a deal they helped create or introduce you to. For example, if a business broker connects you with a supplier, non-circumvention means you agree not to secretly go directly to that supplier later to avoid paying the broker their fee.

Example

A consultant introduces your bakery to a major grocery chain distributor, and you both sign a non-circumvention agreement, meaning you cannot later contact that distributor behind the consultant's back to negotiate a deal without them.

Watch Out

These agreements often have time limits buried in the fine print, so make sure you know exactly how long you are bound by the restriction before you sign.

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.