Employment contract review example
This is what a Clauze scan looks like. It highlights risky clauses and explains them in plain English, so you can negotiate with clarity.
Summary
This employment agreement looks standard at first glance, but it contains a broad non-compete and a sweeping IP assignment. Those two clauses increase risk and should be negotiated before signing.
NON-COMPETE
Non-compete
"Employee shall not, for a period of 24 months following termination, engage in any business activity that competes with the Company anywhere in the continental United States."
Plain English
This is a very broad non-compete. 24 months is longer than the typical 6-12 months, and 'continental US' is a huge geographic area that might make it hard for you to find a new job.
TERMINATION
Termination
"The Company may terminate this Agreement at any time for any reason without notice or severance pay."
Plain English
This is an 'at-will' clause but specifically excludes severance. You could be let go tomorrow with zero financial cushion.
INTELLECTUAL PROPERTY
Intellectual Property
"All ideas, inventions, and work product developed by the Employee during the term of employment, whether or not during business hours or using Company resources, shall belong to the Company."
Plain English
This means even projects you work on at home on your own time might legally belong to your employer.
Negotiation checklist
These are example next steps based on the flagged clauses above. Use them as a starting point for questions and edits.