It is ultimately management's responsibility to find a balance (and yours), but having been through some long negotiations when selling this site, I'll tell you that it's hard to be reasonable. You have to trust that the other side will meet you halkway if something happens that forces you to use the agreement and I'm not sure that it's possible to have that trust.

It's too easy to think that one might put their own benefits from an action ahead of what's morally right.

Suppose you negotiate a loose agreement and you get a contract working on the same type of technology or on the edge of the same city. If it's not well defined, then you might not want to adhere to your side of the agreement since your interpertation might be different, or you can justify it. Same for the company.

I wish it were different, and I'm not sure how you get around this, especially as most of the time we don't know the people we are in business with all that well.