Clause Library

Prevents you from working for a competitor or starting a competing business for a set period after leaving. South African courts will only enforce it if it is reasonable in scope, geography, and duration.

Sets a trial period at the start of employment. During probation, the employer can assess performance and dismiss for poor performance with a shorter process — but fair procedure still applies.

Requires the employee to keep business information secret during and after employment. This covers client lists, pricing, trade secrets, and internal processes.

Transfers ownership of anything you create during employment to the employer — including software, designs, and written work. This is standard in creative and tech roles.

Sets how much notice either party must give before ending the employment relationship. The BCEA sets minimum notice periods based on length of service.

During the notice period, the employer can require you to stay at home (on full pay) rather than work. This protects the employer's client relationships and confidential information.

Specifies that employment ends on a fixed date or on completion of a project. Under the LRA, repeated renewal of fixed-term contracts can create a reasonable expectation of permanent employment.

Allows the employer to deduct amounts from your salary — for example, for damage caused or loans advanced. The BCEA strictly limits what can be deducted and requires written consent.

Defines exactly what the service provider will do. A vague scope is the single biggest cause of disputes in service agreements.

Sets when and how the service provider gets paid. Clear payment terms reduce late payment disputes.

Caps the service provider's financial exposure if something goes wrong. Without this, a service provider could be liable for consequential losses far exceeding the contract value.

States that the service provider is not an employee. This affects tax, UIF, and labour law obligations. South African courts look at the substance of the relationship, not just the label.

Allows either party to end the contract without cause, on notice. Without this, you may only be able to terminate for breach.

Determines who owns the work product created under the contract. By default, the creator owns the IP — this clause is needed to transfer ownership to the client.

Excuses a party from performing if an extraordinary event beyond their control makes performance impossible — like a natural disaster, load shedding, or a pandemic.

Sets out the process for resolving disputes — typically negotiation first, then mediation, then arbitration or court. This can save significant time and cost.

Sets how much the rent increases each year. A fixed percentage gives certainty; CPI-linked escalation tracks inflation.

The upfront security payment held by the landlord. Under the Rental Housing Act, residential deposits must be held in an interest-bearing account and returned within 14 days of the lease ending.

Allocates responsibility for repairs between landlord and tenant. Typically, the landlord handles structural repairs and the tenant handles day-to-day maintenance.

Restricts what the premises can be used for. Using the premises for an unpermitted purpose is a breach of the lease and can result in eviction.

Gives the tenant the right (but not the obligation) to renew the lease at the end of the term. This provides security of tenure without locking you in.

Controls whether the tenant can sublet the premises or transfer the lease to someone else. Most leases require landlord consent.

Requires the tenant to return the premises in the same condition as received, fair wear and tear excepted. This is the basis for any deposit deductions.

Defines what counts as confidential. A well-drafted definition is the foundation of any NDA — too narrow and you're not protected; too broad and it's unenforceable.

Lists what is NOT confidential — information that is already public, independently developed, or received from a third party. These exclusions are standard and protect the receiving party.

Allows the receiving party to share confidential information with employees and advisors who need it, and to disclose it if required by law.

Requires the receiving party to return or destroy confidential information when the relationship ends. This is increasingly difficult to enforce in a digital environment.

Prevents the receiving party from poaching the disclosing party's employees or clients during and after the relationship. Often included in NDAs between businesses.

Sets how long the confidentiality obligations last after the agreement ends. Perpetual obligations are common for trade secrets; 3–5 years is standard for general business information.

States that the written contract is the complete agreement between the parties and replaces all prior discussions, emails, and promises. This prevents disputes about what was agreed verbally.

Requires any changes to the contract to be made in writing and signed by both parties. This prevents disputes about verbal amendments.

Specifies which country's law governs the contract and which court has jurisdiction. For South African contracts, this is typically South African law and the High Court.

Sets the address where legal notices must be delivered. A notice sent to the domicilium address is deemed received even if the party is not there — this is important for legal proceedings.

If one clause in the contract is found to be invalid or unenforceable, the rest of the contract remains in force. This prevents one bad clause from voiding the entire agreement.

States that if a party does not enforce a right under the contract, they have not permanently given up that right. This prevents "you never complained before" arguments.

Controls whether a party can transfer their rights or obligations under the contract to someone else — for example, if a business is sold.

Determines who pays legal costs if there is a dispute. The default in South African courts is that the losing party pays, but the contract can change this.