Sample Business Contracts


Deed of Non-Competition - Quintiles Transnational Corp. and Barrie Stevens Haigh

Non-Competition Forms


                            DEED OF NON-COMPETITION

                                    BETWEEN

                         QUINTILES TRANSNATIONAL CORP.

                                      AND

                              BARRIE STEVENS HAIGH

                                29 NOVEMBER 1996
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                                    INDEX


CLAUSE                                                               PAGE
- ------                                                               ----

1.  Certain Definitions............................................    3

        1.1 Certain Definitions....................................    3

2.  Non-competition and Non-solicitation Covenants.................    3

        2.1 General................................................    3       

        2.2 Non-Competition........................................    3       

        2.3 Holding of Shares or Securities........................    5       

        2.4 Nondisclosure..........................................    5

        2.5 Geographical Restriction...............................    5       

        2.6 Non-Competition Period.................................    6

        2.7 Remedies...............................................    6

        2.8 Other Agreements.......................................    6       

3.  General Provisions.............................................    6

        3.1 Notices................................................    6       
       
        3.2 Variation..............................................    7       

        3.3 Entire Agreement.......................................    8       

        3.4 Assignment.............................................    8

        3.5 Law and Jurisdiction...................................    9

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<PAGE>   3

THIS NON-COMPETE AGREEMENT dated 29 November, 1996 is executed as a Deed and
is made

BETWEEN

(1)       QUINTILES TRANSNATIONAL CORP., a corporation incorporated under the
          laws of North Carolina, U.S.A. (the "Purchaser"); and

(2)       BARRIE STEVENS HAIGH, an individual residing at Chimneys, Winter
          Hill, Cookham Dean, Berkshire, SL6 9TN (the "Vendor").

WHEREAS:

(A)       Concurrently with the execution of this Agreement, the Purchaser,
          the Vendor and others are consummating certain transactions
          under a Share Exchange Agreement ("the Share Exchange Agreement")    
          pursuant to which the Vendor and other vendors are exchanging their
          shares of Innovex Limited ("Innovex") for shares of Quintiles
          Transnational Corp.

(B)       The Vendor is entering into this Agreement as a condition precedent
          to completion under the Share Exchange Agreement.

(C)       Upon completion of the share exchange pursuant to the Share Exchange
          Agreement, Vendor will own approximately 4,302,327 shares of the
          outstanding common stock of the Purchaser.

NOW THIS DEED WITNESSETH as follows:

                           1. CERTAIN DEFINITIONS

1.1       Certain Definitions.  In this Agreement the following words and
          expressions shall have the meanings respectively ascribed to them:

          "Affiliates" shall mean: (i) the Purchaser; (ii) any Purchaser
          subsidiary or related entity (including without limitation Innovex
          and its subsidiaries); and (iii) any entity directly or indirectly
          beneficially owned or controlled in whole or part by the Purchaser
          or any Purchaser subsidiary or related entity, in each case as
          existing at or prior to the date of termination of Vendor's
          employment.

              2. NON-COMPETITION AND NON-SOLICITATION COVENANTS

2.1       General.  In consideration of the Purchaser agreeing to complete the
          Share Exchange Agreement, during the Vendor's employment with the    
          Purchaser and the Non-Competition Period (as defined in Section 2.6):

2.2       Non-Competition.  The Vendor shall not, either alone or jointly with
          another or others, whether as principal, agent, director,
          shareholder, independent contractor, officer, employee or in any
          other capacity, whether directly or indirectly, and whether for his
          own benefit or that of others:


                                      3
<PAGE>   4

(a)    be engaged or have an economic interest in any business which competes
with any business carried on or engaged in by the Purchaser or any of its
Affiliates at or before (provided such business has not been terminated or
abandoned by Purchaser or such Affiliate) the date of termination of Vendor's
employment, including without limitation Related Activities (as defined below)
(hereinafter, a "Competitive Business");

(b)    solicit or endeavor to solicit on behalf of a Competitive Business, from
or with any person or entity:

        (i)     who or which was a customer of the Purchaser or any of its
Affiliates at any time during the period of twelve (12) months preceding the
date of the termination of the Vendor's employment;

        (ii)    who or which the Vendor or someone for whom he was directly
responsible solicited, negotiated, contracted, serviced, advised or had contact
with on the Purchaser's or any of its Affiliates' behalf; or

        (iii)   to whom the Purchaser or any of its Affiliates had made
proposals to do business at any time during the period of twelve (12) months
preceding the date of the termination of the employment;

(c)    deal, do business or endeavor to deal or do business for a Competitive
Business from or with any person or entity:

        (i)     who or which was a customer of the Purchaser or any of its
Affiliates at any time during the twelve (12) months preceding the date of the
termination of the employment;

        (ii)    who or which the Vendor or someone for whom he was directly
responsible solicited, negotiated, contracted, serviced, advised or had contact
with on the Purchaser's or any of its Affiliates' behalf; or

        (iii)   to whom the Purchaser or any of its Affiliates had made
proposals to do business at any time during the period of twelve (12) months
preceding the date of the termination of the employment;

(d)    without the written permission of the Board of the Purchaser (such
permission not to be unreasonably withheld or delayed and in particular such
permission will not be withheld if the Purchaser considers that the Vendor has
neither a personal influence with clients nor is in possession of confidential
information) offer employment to or otherwise solicit for employment the
services of any individual who was an employee or director of the Purchaser or
any of its Affiliates during the period of twelve (12) months preceding the
date of termination of employment whether or not such persons would commit any
breach of his contract of employment with the Purchaser or any of its
Affiliates by reason of his leaving service; or

(e)    directly or indirectly take any action which is intended to be materially
detrimental or otherwise intended to be adverse to the Purchaser's and/or any
of its Affiliates'


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<PAGE>   5


    goodwill, name, business relations, prospects and operations.

    Notwithstanding anything in this Agreement to the contrary, the following  
    activities will not be deemed to contravene the provisions of Section 2 of
    this Agreement:

        (i) Owning, operating, controlling or serving as a director, officer or
    employee of or consultant to any company the principal business of which is
    manufacturing, distributing, marketing and/or selling pharmaceutical
    products the rights to which are owned by or licensed to such company;
    provided that the amount of the consolidated revenues of such company in
    any year derived from operations (as defined below, "Related Activities")
    involving providing, on a contract, for hire, or similar basis (i) drug
    development services, (ii) pharmaceutical or clinical research services,
    (iii) pharmaceutical sales or marketing services (iv) health information
    management services, and/or (v) any other activity which constitutes a
    significant part of the business of the Purchaser (in the case of
    subparagraph (v), at or before the date of termination of Vendor's
    employment) will not exceed the greater of five percent (5%) of
    consolidated revenues or five percent (5%) of consolidated expenses of such
    company; provided further that Vendor shall have no direct involvement in
    such Related Activities as a director, officer, employee, consultant or
    otherwise; provided further, it is agreed that Related Activities are
    intended to be limited to activities which are incidental to the
    operations of a pharmaceutical business and are not, without limiting the
    foregoing, any activities dedicated primarily to a Competitive Business or
    the purpose of drug development, marketing, sales services, or health
    benefit analysis of the products or potential products of third parties.

        (ii) the provision of executive search consulting services so long as  
        such services are not provided to an entity engaged in Related
        Activities; and

        (iii) the provision of financial consulting services so long as such   
        services are not provided to an entity engaged in Related Activities.

2.3 Holding of Shares or Securities.  Section 2.2 shall not prohibit the       
    holding (directly or through nominees or otherwise) of shares or other
    securities of another company which are listed or traded on any recognized
    stock exchange being a holding (which phrase shall include any
    interest in any such holding) entitling the holder to no more than two and
    one half percent (2.5%) of the voting power of such body corporate.

2.4 Nondisclosure.  The Vendor shall not either before or after the termination
    of his employment hereunder disclose to any person or persons any  
    confidential information in relation to the affairs of the Purchaser or any
    of its Affiliates or any client or customer thereof which he has become or
    may have become possessed whilst in the service of the Purchaser except in
    the proper course of his duties as an officer, director or employee of the
    Purchaser or as authorized by the Board or as ordered by a Court of
    competent jurisdiction or pursuant to other governmental process.

2.5 Geographical Restriction.  The restrictions set forth in Sections 2.2(a)
    apply to the following geographical areas: the United Kingdom, the Federal 
    Republic of Germany and the United States of America, including the
    territories and possessions thereof.

                                      5
<PAGE>   6

2.6 Non-Competition Period.  As used in this Agreement "Non-Competition
    Period" means: the greater of: (i) the two (2) year period following the
    termination of Vendor's employment with Purchaser (irrespective of the
    circumstances of such termination); or (ii) five (5) years from November
    26, 1996.


2.7 Remedies.  Vendor acknowledges and agrees that Vendor's failure to abide by
    the provisions of this Agreement would cause irreparable harm to the       
    Purchaser and/or its Affiliates for which legal remedies would be
    inadequate.  Therefore, in addition to any legal or other relief to which
    the Purchaser and/or its Affiliates may be entitled by virtue of Vendor's
    failure to abide by these provisions: (i) the Purchaser may seek legal and
    equitable relief, including but not limited to preliminary and permanent
    injunctive relief, for Vendor's actual or threatened failure to abide by
    these provisions; (ii) Vendor will, upon final judicial determination that
    Vendor has breached the terms of this Agreement, indemnify the Purchaser
    and/or its Affiliates for all expenses (including legal fees) in seeking to
    enforce these provisions; and (iii) if, as a result of Vendor's failure to
    abide by the provisions, any commission or fee becomes payable to Vendor or
    to any person, corporation or other entity with which Vendor has become
    employed or otherwise associated, Vendor shall pay the Purchaser or cause
    the person, corporation or other entity with whom he has become employed or
    otherwise associated to pay the Purchaser an amount equal to such
    commission or fee.

2.8 Other Agreements.  Nothing in this Agreement shall terminate, revoke or    
    diminish Vendor's obligations or the Purchaser's and/or its Affiliates'
    rights and remedies under law or under Vendor's Employment Agreement with
    Purchaser and the Share Exchange Agreement relating to trade secrets,
    confidential information, non-competition and intellectual property.

                            3. GENERAL PROVISIONS

3.1 Notices.  All notices, demands, requests, or other communications which may
    be or are required to be given, served, or sent by any party to any other
    party pursuant to this Agreement shall be in writing and shall be hand
    delivered, sent by overnight courier or mailed by first-class registered
    post, postage prepaid, return receipt requested or transmitted by telegram,
    telecopy or telex, addressed as follows:

    (a) If to the Purchaser:

        Quintiles Transnational Corp.
        4709 Creekstone Drive
        Riverbirch Building, Suite 300
        Durham, North Carolina
        U.S.A. 27703

        Attention:  Gregory D. Porter

        Fax: 919-941-2090

                                      6
<PAGE>   7
        with a copy which shall not constitute notice to:

        Smith, Anderson, Blount, Dorsett, Mitchell & Jernigan L.L.P.
        2500 First Union Capital Center
        Raleigh, North Carolina
        U.S.A. 27601

        Attention: Gerald F. Roach

        Fax: 919-821 6800



    (b) If to the Vendor:

        Barrie Stevens Haigh
        Chimneys, Winter Hill
        Cookham Dean
        Berkshire SL6 9TN

        With a copy which shall not constitute notice to:





        Attention:

        Fax:

    Each party may designate by notice in writing a new address to which any   
    notice, demand, request or communication may thereafter be so given, served
    or sent.  Each notice, demand, request, or communication which shall be
    hand delivered, sent, mailed, telecopied or telexed in the manner described
    above, or which shall be delivered to a telegraph company, shall be deemed
    sufficiently given, served, sent, received or delivered for all purposes at
    such time as it is delivered to the addressee (with the return receipt, the
    delivery receipt, or (with respect to a telecopy or telex) the answerback
    being deemed conclusive, but not exclusive, evidence of such delivery) or
    at such time as delivery is refused by the addressee upon presentation.

3.2 Variation.  No variation of this Agreement shall be valid or effective
    unless made by one or more instruments in writing signed by all of the
    parties hereto.

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<PAGE>   8

3.3 Entire Agreement. Except as expressly provided in this Agreement, this
    Agreement: (i) supersedes and cancels all other understandings and
    agreements, oral or written, with respect to Vendor's obligations with     
    respect to non-competition which Vendor has executed in the past; (ii)
    supersedes all other understandings and agreements, oral or written,
    between the parties with respect to the subject matter of this
    Agreement; and (iii) constitutes the sole agreement between the parties with
    respect to the matters covered.  No change or modification of this
    Agreement shall be valid or binding upon the parties unless such change or
    modification is in writing and is signed by the parties.

3.4 Assignment.  Neither of the parties hereto shall assign or otherwise deal
    with any of its right, title or interest in this Agreement without the
    prior written consent of the other party to this Agreement, which consent
    may be withheld in such party's absolute discretion, provided, however,
    that the Purchaser may in its absolute discretion assign all or any of
    its right title and interest in this Agreement to a an Affiliate or to a
    subsequent purchaser of all of the share capital of the Company or all or
    substantially all of the assets of the Company.

                                      8

<PAGE>   9

3.5 Law and Jurisdiction.  This Agreement shall be governed by and construed in
accordance with English law and the parties irrevocably submit to the  
non-exclusive jurisdiction of the High Court of Justice in London for all
purposes connected with it.

IN WITNESS whereof this Agreement has been executed and unconditionally
delivered as a Deed the day and year first-above written.



Signed and delivered as a Deed      )
by Quintiles Transitional Corp.     )
by its duty authorized              )
Vice President, Rachel R. Selisker, )
and by its duly authorized          )
Secretary, Gregory D. Porter        )



/s/ Rachel R. Selisker
- -------------------------------
Rachel R. Selisker
Vice President       


/s/ Gregory D. Porter
- -------------------------------
Gregory D. Porter
Secretary


Signed and delivered as a Deed      )     /s/ Barrie Stevens Haigh
by Barrie Stevens Haigh             )


in the presence of:

Name:  David B. Rockwell            )
      -------------------------     )
Address: 28 Willow Road             )
        -----------------------     )
         Hampstead, London          )
        -----------------------     )
         NW3 1TL, England           )
        -----------------------     )
Occupation: Attorney                )
            -------------------     )

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