Clauses to read before accepting
Some employment terms are standard, but the details can shape your future options.
- Base salary, commission, bonus discretion, equity vesting, and clawbacks.
- Non-compete, non-solicit, confidentiality, and non-disparagement clauses.
- Intellectual property assignment and invention disclosure requirements.
- Termination for cause, notice periods, severance, and garden leave.
- Arbitration, governing law, venue, and class action waivers.
Red flags in job contracts
Employment laws vary, but these patterns deserve attention before you sign.
- Bonus language that sounds promised but is fully discretionary.
- IP assignment that covers work created outside company time and tools.
- Broad non-compete language with no geography, role, or time limits.
- Repayment clauses for training, relocation, or signing bonuses.
- Termination rules that remove earned compensation or vested benefits.
How to use TermsHuman
Paste one clause at a time when the agreement is long. You will get a clearer risk score and better red flags.
- Start with restrictions after leaving the company.
- Then check pay, equity, IP, confidentiality, and dispute clauses.
- Ask a local employment lawyer about enforceability in your jurisdiction.
Example: invention assignment
Input
Employee assigns to the company all inventions, discoveries, and improvements conceived during employment, whether or not created during working hours.
What to notice
- The company may claim rights to ideas developed while you are employed.
- The clause may reach outside normal working hours.
- Look for exclusions for prior inventions and personal projects.
Employment contract FAQ
Are non-competes enforceable?
It depends on location, role, scope, and current law. Some are restricted or banned, while others may still matter. Get local legal advice before relying on a general answer.
What is IP assignment?
IP assignment transfers ownership of certain inventions, work product, code, designs, writing, or ideas from you to the company.
What is a discretionary bonus?
A discretionary bonus means the employer may decide whether to pay it, often even if targets are met. The exact wording matters.
Should I paste salary details?
You can redact sensitive numbers if you prefer. The tool can still explain structure, conditions, and risk.
Can TermsHuman negotiate for me?
No. It helps you understand and prepare questions, but negotiation and legal advice are outside the tool.