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Non-Circumvention Agreement Cost

Updated: August 11, 2023
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What does a non-circumvention agreement cost? A party entering a business deal may ask this question. So let’s explore non-circumvention agreement costs and review some general information about non-circumvention agreements and how they work.

How Much Does a Non-Circumvention Agreement Cost?

A non-circumvention agreement is a legally binding contract that protects a party during a business deal by preventing them from being bypassed or circumvented by other parties and deprived of full compensation in the business deal.

In addition to protecting a party’s rights and compensation, a non-circumvention agreement can also protect the intellectual property rights of all parties involved. This agreement will prohibit the parties from sharing confidential information with third parties in future dealings.

Non-circumvention agreements are most often seen when two parties work together for the first time and there is little trust built between the two entities. If any party violates the non-circumvention, the breaching party can be sued for damages.

It is common for parties entering a non-circumvention agreement to hire an attorney to draft the contract. An attorney who has experience drafting non-circumvention agreements will know what terms and conditions need to be included in the contract to protect all parties and be legally enforceable.

According to ContractsCounsel’s marketplace data, the average cost of a project involving a non-circumvention agreement is $789.80.

What’s Typically Included in a Non-Circumvention Agreement

Non-circumvention agreements will vary based on the industry, the business deal, and the parties involved. They can be customized to serve the needs of the parties involved but should include the following key information:

  • Terms. The terms of the agreement should include basic information like how many years the contract will be valid after signing, whether the contract is renewable after the business transaction, and how amendments are made.
  • Valuable information. A non-circumvention agreement should specify the helpful information that needs to be kept confidential. This section should be as specific as possible.
  • Fees and commissions. The agreement should clearly state all fees and commissions involved in the transaction. This can be a list of fees for various services or hourly rates.
  • Penalties. The penalties for violating any terms of the non-circumvention agreement.
  • Non-disclosure and confidentiality. These clauses aren’t necessary, but some parties prefer the extra protection they provide. Therefore, some choose to use a non-disclosure and confidentiality agreement.
  • Governing law. The terms of the contract must comply with the state laws where business is conducted.
  • Entire agreement. In this section, all parties or entities related to the participating parties are listed and required to comply with the agreement.

A knowledgeable attorney will know what additional clauses and information you need to add to your non-circumvention agreement to protect all parties.

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Are Non-Circumvention Agreements Enforceable?

Yes. When written correctly, non-circumvention agreements are legally binding and enforceable. It is important that the agreement follows all state and local laws surrounding non-circumvention agreements and that the agreement is precise and detailed.

If one party breaches the non-circumvention agreement, the other party can file a breach of contract lawsuit and recover any damages they suffered due to the violation.

Examples of Non-Circumvention Agreement Projects

Non-Circumvention Agreement Drafting Service

Non-circumvention agreements are important contracts that protect parties from being taken advantage of throughout a business transaction.

These documents can be complicated depending on how many parties are involved and the type of business transaction conducted. To ensure that the contract is legally binding and enforceable, it is common for parties to hire an attorney to draft the agreement.

Before the drafting process starts, you will meet with the lawyer to discuss your business, the purpose of the non-circumvention agreement, and what company information needs to be protected. The lawyer will then draft a customized non-circumvention agreement for you to use for the transaction.

Non-Circumvention Agreement Review Service

Suppose you are a party entering a non-circumvention agreement but didn’t have a role in drafting the agreement. You may want to review it before agreeing to sign. Contract favors the drafting party. This could lead to unfair terms or clauses that don’t fully protect all parties.

Many contract lawyers offer review services and, when hired, will go over the contract with their client’s best interests in mind. The lawyer will ensure the contract is fair and legal and suggest edits or negotiate further if necessary.

Non-Circumvention Agreement Drafting Costs

Hiring a lawyer to draft a non-circumvention agreement will incur legal fees. In addition, the lawyer will charge for all their time working on the agreement, including consultations, communication with the client, and revisions.

ContractsCounsel’s marketplace data shows that the average non-circumvention agreement drafting costs are $862.25 across all states and industries.

Non-Circumvention Agreement Review Costs

If a party hires a lawyer to review the contract, they will also incur legal fees. They will always be responsible for their legal bills. The lawyer will use their time and legal expertise to ensure the non-circumvention agreement is fair, fully represents all parties, and is legally binding.

According to ContractsCounsel’s marketplace data, the average non-circumvention agreement review costs are $500.00 across all states and industries.

How Do Lawyers Charge for Non-Circumvention Agreements?

Hourly Rates for Non-Circumvention Agreements

Lawyers commonly use hourly fee structures in all legal fields to charge their clients. Under this fee agreement, the lawyer will charge the client a set hourly rate for each hour of work spent on the client’s case or project.

This fee agreement benefits lawyers because it ensures they receive payment for all the time spent on a case. However, clients may be apprehensive about hourly rates because they won’t know the total cost of legal fees until the case or project concludes.

The marketplace data for ContractsCounsel shows that a contract lawyer's average hourly rate ranges from $200 - $350 per hour.

Flat Fee Rates for Non-Circumvention Agreements

Flat fee rates are commonly used when a lawyer is hired for a specific project, like drafting a non-circumvention agreement. After reviewing the project and estimating the time it will take, the lawyer will provide the client with a flat fee quote to complete the job. This fee is usually paid upfront before the lawyer begins work.

Clients prefer flat rate fees because they know exactly what they need to budget for legal costs and won’t have any surprise bills at the end of legal services. The client must understand what services are included in the flat fee rate. For example, contract revisions or negotiations may be considered additional services that could incur additional legal fees.

ContractsCounsel's marketplace data shows that the average flat fee rate for a non-circumvention agreement costs $789.80.

Get Help with a Non-Circumvention Agreement Project

Do you need help with a non-circumvention agreement? If so, post a project in ContractsCounsel’s marketplace to receive flat fee bids from contract lawyers to handle your project. All lawyers on the ContractsCounsel’s platform are vetted by our team to make sure you are provided with top tier service.

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