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compete clause. As a consequence, the same criteria for validity and enforceabilityapply.c. Confidentiality ClauseIn practice, it is common for an employer to include a confidentiality clause in theemployment contract, that prevents the employee from disclosing any confidentialinformation, data, documents, etc. regarding the company or the group’s business toany third party during the performance of the employment contract and after itstermination. The DCC does not contain specific rules regarding a business relationshipclause. However, the DCC does contain a clause regarding penalties.d. Other Restrictive ClausesOther restrictive clauses, such as a non-poaching clause or an intellectual propertyclause, are common in The Netherlands. No specific statutory rules apply.e. Penalty ClauseIn general, the aforementioned clauses may contain a penalty clause. 55 It is advisable toadd such a clause for the situation of non-compliance with the restrictive covenants. Incase of an amicable settlement (a termination agreement by mutual consent), it isadvisable to explicitly state that both the restrictive covenant(s) and the penalty clausewill remain in force and will not be waived.55 Article 7:650 of the Dutch Civil Code3082723.3