Enforceability of Non Compete Agreements in Massachusetts
Unlocking the Maze of Non-Compete Agreements in MassachusettsNon-compete agreements have long been a point of contention in employment law, and the rules surrounding their enforceability in Massachusetts are no exception. While the Massachusetts Non-Compete statute passed in 2018 aimed to provide clarity and requirements for valid non-competes, many questions still linger, especially for employees who are bound by agreements signed before the law's enactment.
Whether your non-compete falls under the new law or not, your rights and restrictions depend on the specific terms of your agreement and the circumstances of your employment. Here, we offer some fundamental guidelines to help you navigate the intricacies of non-compete agreements in Massachusetts. Non Competes Signed After October 1, 2018For agreements signed after this date, the new Massachusetts non-compete statute applies. Key requirements include:
Non Competes Signed Before October 1, 2018Non-compete agreements signed prior to this date will be evaluated based on common law principles. These agreements are enforceable only if reasonably necessary to protect a "legitimate business interest," which typically involves safeguarding confidential information and goodwill.
The duration and geographic scope of the non-compete must be reasonable considering the employer's interests. Before the new statute, court decisions varied significantly regarding what constituted a reasonable restriction. An experienced attorney can assess the risk of enforcement based on your job's nature and your employer's business. |
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Defenses to Enforcement of a Non Compete
Whether your agreement predates or postdates the non-compete statute, several defenses can be raised against the enforcement of a non-compete in Massachusetts, including:
Furthermore, some professionals, such as physicians, registered nurses, licensed social workers, and attorneys, are exempt from non-compete agreements in Massachusetts, either by statute or ethical rules. These limitations may extend to related fields and should be discussed with an attorney experienced in non-compete issues.
Understanding the nuances of non-compete agreements and their enforceability is essential to make informed decisions about your career and future employment opportunities in Massachusetts. For tailored advice and guidance, consult an experienced employment attorney.
- Lack of Consideration: If you received nothing in return for agreeing not to compete.
- Material Changes: Substantial changes in your job or compensation after signing the agreement.
- Employer's Breach: Failure of the employer to fulfill essential aspects of your employment agreement.
- Lack of Legitimate Business Interests: When there is no genuine business interest to protect.
- Overreach: The employer seeks to impose unreasonable time and geographic restrictions.
Furthermore, some professionals, such as physicians, registered nurses, licensed social workers, and attorneys, are exempt from non-compete agreements in Massachusetts, either by statute or ethical rules. These limitations may extend to related fields and should be discussed with an attorney experienced in non-compete issues.
Understanding the nuances of non-compete agreements and their enforceability is essential to make informed decisions about your career and future employment opportunities in Massachusetts. For tailored advice and guidance, consult an experienced employment attorney.
Meet Our Employment and Non Compete Lawyers
Emily Smith-Lee is the owner and founder of slnlaw. She is a 1996 graduate of Boston College Law School. She was previously a partner at the Boston office of a large international firm, where she worked for thirteen years before starting the firm that became slnlaw in 2009. She has been recognized as Massachusetts Superlawyer each year since 2013, and in 2018 earned recognition as one of Massachusetts Lawyers Weekly's Lawyers of the Year. She has written a book on employment law: Rules of the Road, What You Need to Know About Employment Laws in Massachusetts, been interviewed by the Massachusetts Superlawyers magazine about non compete agreements, and written an op-ed in the New York Times about the dangers of non competes. Along with the rest of the slnlaw team, she has helped hundreds of clients navigate, negotiate, or defend against their non compete agreements.
Rebecca Rogers: Rebecca is a 2006 graduate of Boston College Law School, and has worked with slnlaw since 2013. She previously worked as an intellectual property litigation attorney for Fish & Richardson in Boston, Massachusetts, and clerked for the Massachusetts Supreme Judicial Court. Rebecca has helped many clients understand and evaluate their non compete agreements and develop strategies for defending against non compete enforcement and negotiating resolution.
Jenna Ordway: Jenna is a 2013 graduate of Quinnipiac Law School, and also earned an LLM in Taxation from Boston University in 2015. She has been affiliated with slnlaw since 2011, first as a law clerk and then as an attorney. Jenna has been recognized since 2019 as a "Rising Star" by Massachusetts Superlawyers. Jenna works with employers to develop reasonable and enforceable employee agreements, including non competes. She has also helped employees understand and evaluate their non compete agreements and develop strategies for defending against non compete enforcement and negotiating resolution.
Elijah Bresley: Eli is a 2014 graduate of Seton Hall Law school, and has worked with slnlaw since 2020. He previously worked for a boutique employment law firm outside of Boston, and then for the Labor and Employment department of a large Boston firm. He also spent a year clerking for the judges of the Superior Court in Hartford, Connecticut. Eli has helped clients both evaluate and negotiate their non compete agreements, and defended non compete claims in state and federal courts.
How We Can Help
At slnlaw, our experienced team of employment attorneys can provide you with expert guidance and representation to navigate the complexities of non-compete agreements in Massachusetts. Whether you need assistance with understanding your rights under the new non-compete statute or require defense against the enforcement of an existing agreement, we are here to help you make informed decisions and protect your interests. You can use the button below to schedule a call back from a member of our team, or give us a call at 781-784-2322.
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