California Noncompete Agreement: What's Included and Enforceability
Quick Facts — Noncompete Agreement Lawyers (California)
- Avg cost to draft a Non-Compete Agreement: $420.00
- Avg cost to review a Non-Compete Agreement: $440.00
- Lawyers available: 54 California employment lawyers
- Clients helped: 32 recent noncompete agreement projects in California
- Avg lawyer rating: 5.0 (8 reviews)
Is a Non-Compete Agreement Enforceable in California?
No. California is one of the three states in the United States that prohibits the enforcement of non-compete agreements. California statutes explicitly state that any contract that restrains a anyone from engaging in a lawful profession, trade, or business is void.
The purpose of a non-compete agreement is to prevent a worker from engaging in a similar business after leaving a company. Non-compete agreements are meant to protect an employer’s business interest, but these restrictive contracts can often place an unfair burden on employees who are looking for work. For this reason, many states place restrictions on these contracts, or like California, ban them all together.
Can My Employer Stop Me from Going to Work for a Competitor in California
No. An employer cannot stop an employee for going to work for a competitor in California. California statutes protect employees by prohibiting any kind of contract that would restrict an employee from working in their chosen industry.
It should be noted however, that even though California prohibits non-compete agreements, confidentiality agreements are enforceable. This means that if an employee signs an enforceable confidentiality agreement, then leaves the company to work for a competitor, they will still be bound by the confidentiality agreement.
Confidentiality agreements often protect a company’s trade secrets, customer lists, documents, and proprietary information. The employee will be prohibited from sharing any of this information at their new job.
Can a Non-Compete Agreement be Used for the Sale of a Business in California?
There are only two circumstances in which a non-compete agreement may be used in the state of California:
- Selling a business. When a business owner sells the goodwill of a business, a non-compete agreement can be used to prevent the seller from carrying on a similar business. State laws specify that the non-compete is for the goodwill of a business so the contract needs to use the term “goodwill” to be enforceable.
- Dissolution of a partnership. When partners dissolve a business, the parties can agree to sign a non-compete agreement that prohibit each other from opening a new, similar business in the same area.
To be enforceable in these two circumstances, the non-compete agreement must include a specified duration and a specified geographic location. The contract needs to be reasonable in scope and cannot be too broad.
Unlike other states, California does not permit blue penciling. Courts cannot edit contracts to make an unenforceable contract enforceable.
How Long Does a Non-Compete for the Sale of a Business Last in California?
The maximum term that courts have ruled reasonable for a non-compete agreement for the sale of a business in California is five years. Non-competes can be longer or shorter than five years, but if a court determines that the duration is in anyway unreasonable, the contract may be deemed invalid and unenforceable.
Why Does California Not Allow Non-Compete Agreements?
California dos not allow non-compete agreements because the state recognizes the importance of allowing workers to pursue a career that allows them to earn a living and provide for themselves. Non-compete agreements can be overly restrictive and impose an undue burden on employees who are seeking new employment.
When an employee works in a specific industry, they gain knowledge, skill, and experience in that industry. An employee could spend years learning their trade and non-compete could potentially limit their ability to find a job that fits their skillset.
Furthermore, non-compete agreements often discourage workers from seeking new opportunities that could provide better pay, flexibility, or working conditions. If an employee fears legal repercussions, they might believe that their only option is to continue to work for their current company.
Frequently Asked Questions
See Noncompete Agreement by State
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
See Real Non-Compete Agreement Projects
California Review non-compete and proprietary invention agreement Review
- California
- 7 lawyer bids
- $495 - $1,500
California Employment non compete question session Drafting
- California
- 6 lawyer bids
- $249 - $500
Nevada I have two non competes that needs review, one on rollover shares and as a retired officer Review
- Nevada
- 3 lawyer bids
- $400 - $500
Florida Review Employment Contract Non-Compete Clause for Chiropractor Review
- Florida
- 4 lawyer bids
- $150 - $399
See all Non-Compete Agreement projects in California
ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.
Need help with a Noncompete Agreement?
Meet some of our California Noncompete Agreement Lawyers
Maria A.
Maria Akopyan is a dedicated family law attorney with a focus on marital agreements (prenuptial, postnuptial, and cohabitation agreements) as well as uncontested and default divorces. As the founder and principal attorney at Sapphire Legal Solutions, APC, Maria is committed to providing compassionate, efficient legal guidance through some of life’s most challenging transitions. Whether you’re navigating an amicable divorce or seeking a marital agreement, Maria offers personalized legal solutions that are uniquely tailored to your needs. With her extensive knowledge of family law, she works tirelessly to protect your rights, advocate for your best interests, and guide you empathetically toward a positive resolution. Maria understands the emotional complexities involved in family law matters. She strives to make the legal process as smooth and supportive as possible, ensuring that your family's well-being is safeguarded every step of the way. Trust Maria to be your reliable advocate, helping you find the best legal path forward for you and your loved ones. Let’s work together to resolve your legal matters with care, clarity, and confidence.
"Maria was friendly quick to respond, and clearly answered my questions. Thanks again, Maria!"
Sarah S.
With 20 years of transactional law experience, I have represented corporate giants like AT&T and T-Mobile, as well as mid-size and small businesses across a wide spectrum of legal needs, including business purchase agreements, entity formation, employment matters, commercial and residential real estate transactions, partnership agreements, online business terms and policy drafting, and business and corporate compliance. Recognizing the complexities of the legal landscape, I am dedicated to providing accessible and transparent legal services by offering a flat fee structure, making high-quality legal representation available to all. My extensive knowledge and commitment to client success establishes me as a trusted advisor for businesses of all sizes.
"Sarah was extremely helpful in making me contracts that I needed for wholesaling real estate. Also gave me all the licenses I needed for my business and answered all my questions on information I was unsure of in the business. Will definitely only be going to Sarah for any of my legal needs."
Edward R.
I have been a California since 2003 when I graduated from the University of San Diego School of Law and have worked in-house and at several major law firms before starting my own practice. I specialize in intellectual property and other business-related issues and have helped many entrepreneurs grow their ideas into profitable businesses.
"An amazing attorney with excellent communication! We hired him for a Trademark application and we were pleased with every aspect of the process. Highly recommend!!"
Expert Legal Chat
Instantly connect with a verified lawyer to get professional answers.
ContractsCounsel made it very easy to find a lawyer to help our company with its legal questions.
Dean S.
Dean represents client in all manners of tax controversy and provides comprehensive business consulting to corporations, LLCs, and non-profits. He has worked with multi-national companies, but most enjoys assisting small businesses with all legal matters from formation to dissolution. Dean routinely represents individuals and businesses before the IRS and various state taxation agencies. From audits to appeals, he works closely with his clients to reach favorable outcomes and beneficial resolutions. Though he assists many clients in his home state of California, Dean values working with a diverse clientele throughout the country.
July 13, 2023
Keren G.
Keren E. Gesund has extensive litigation expense. She has successfully defended and prosecuted claims against debt collectors, banks, credit reporting agencies, subcontractors, manufacturers and consumers who have suffered harassment or injury. She handles contentious business and commercial cases for both plaintiffs and defendants in state and federal court.
July 16, 2023
Thomas G.
After graduating law school in 2015, I practiced for a few years in LA, then becoming a contractor for large litigation projects. Now working from home in Kansas, I can offer LA service at Midwest prices.
July 18, 2023
Dilini L.
I am an attorney licensed in California with particular experience in local policy work, workplace justice, and environmental law. I have authored or co-authored over 30 amicus briefs (including one for which I received an Amicus Service Award from the International Municipal Lawyers Association), have extensive experience researching state law across the country and across issue areas, and pride myself in clearly and concisely distilling complex and/or technical legal concepts for lawyers and non-lawyers alike.
Find the best lawyer for your project
Browse Lawyers NowLawyer Reviews for California Noncompete Agreement Projects
confidentiality and non-compete agreement review
"Ryenne provides excellent service and highly recommended"
Legal Advice Needed on Non-Compete in Government Consulting Sector
"Great to work with, thorough, patient, and excellent explanation and detailed information."
Non-Compete Agreement and Employment Offer Review, Pre-signing
"Paul was stellar in every way. Highest recommendation possible; I will be continuing to partner with him. Thank you, Paul."
Review Noncompete Agreement
"Helped with everything I needed and very responsive!"
Employment
Noncompete Agreement
New York
Noncompete agreement and industry restrictions?
I recently signed a Noncompete Agreement with my current employer. I am looking to explore other opportunities in my industry and want to know what restrictions my noncompete agreement might have on me. I am interested in understanding the limitations of the agreement and if there are any potential implications of taking a job in the same industry.
Danielle G.
In order to ascertain the limitations and implications, you would need to review the specific language of the agreement. If the non-compete is very broad, it's possible it would not be enforceable. In New York, for a non-compete agreement to be enforceable, it must be for a reasonable period of time and limited geographic scope. It also must protect the employer's legitimate interest. For example, the restrictions must protect confidential information or specialized skills you gained while on the job, or some other legitimate interest. If the agreement goes beyond those limitations, a court could find the non-complete to be unreasonable and unenforceable, in whole or in part. As to what restrictions your specific non-compete imposes (and the reasonableness of those restrictions), you would need to look at the specific language in the agreement. If you are unsure about the limitations, you should seek advice of counsel to help decipher the extent it would apply to your industry in general, and the likelihood it would be enforceable in court.
Employment
Noncompete Agreement
Missouri
Could someone go to jail if they are accused of fraud for never intending to not breaching his or her non compete non solicit contract?
I am really curious when employment contract can become criminal. Is it criminal to ask you coworker to come work with you, considering if you are accused of fraud for breaching non compete non solicit?
Matthew S.
No, this at worst is a civil matter and not a criminal matter. F
Employment
Noncompete Agreement
Washington
Noncompete agreement termination options?
I recently left my job after signing a Noncompete Agreement. I am looking for a new job, but I am concerned about the restrictions in the Noncompete Agreement and how it might affect my ability to find a new job. I am looking for advice on my options for terminating or modifying the Noncompete Agreement so that I can find a new job without having to worry about any potential legal repercussions.
Merry K.
I am a WA State employment attorney. If you didn’t receive anything in return for signing the non-compete, it may be relatively easy to get out of it. If, however, you signed in return for something, such as a severance package, it will be challenging to get out of the agreement. However, many non-compete agreements are written overly broadly and may not be enforceable under the laws of WA and other states. You may want to consult with a WA State employment attorney for a review of the documents and law(s) of the state(s) where you may want to work or set up a business. (A WA State attorney can only provide legal advice in WA, but can help you find applicable law/case decisions for other states but without providing anything beyond information, much like a law librarian).
Business Contracts
Noncompete Agreement
Florida
Noncompete agreement for consultants?
I am a consultant who is looking to take on a new client, but the client requires me to sign a Noncompete Agreement. I want to make sure that I am not signing away my rights, and that the agreement is fair and reasonable. I am also interested in understanding how this agreement would affect my ability to work with other clients.
Venus C.
Hello. I appreciate your concerns about signing a Noncompete Agreement. It's essential to protect your rights and ensure the agreement is fair and reasonable given that a noncompete typically restricts competing activities during or after the term of engagement. Without knowing more about the business relationship and reviewing the actual terms, whether the non-compete is fair, reasonable, or even enforceable remains an open-ended question. Bearing this in mind, if the noncompete is preventing you from taking on other clients during or after the end of your relationship (or both), the scope of this restriction must be reasonable in terms of time, geographic area, and the specific activities it seeks to prevent. For example, does the noncompete specify the types of clients, industries, or geographic areas that are off-limits? What is the duration of the noncompete? If the client breaches your main agreement, will that render your noncompete void and unenforceable? These are just a few general questions that require a thorough review and analysis against Florida non-compete laws. Overall, the ultimate goal is to carefully review the terms to understand how they might impact your ability to take on new clients. If you don’t understand or are unsure about the contractual terms and their legal implications, it's highly recommended you consult with an attorney who can review the noncompete and provide you with personalized legal advice before you sign.
Employment
Noncompete Agreement
New Jersey
Can I work for a competitor with my current noncompete?
I have ended my non competent consulting agreement with my current employee and I have an offer to work as an employer “not as consultant” with a competitor company to my privious employees so can I work as an employee without any problem? The consultant agreement says the following: Under any circumstances the consultant shall not engage directly or indirectly either as a principal agent , consultant,stock holder , partner or in any other capacity whatsoever have any other relationship with any business which compete with the company in USA.
Jane C.
I suggest that you have an attorney review the entire agreement. It is hard to comment reading a paragraph taken out of context. From the limited facts you present, it seems that you cannot accept this job offer without violating the terms of the non-compete. Disclaimer - This information is provided for general informational purposes only. No information contained in this post should be construed as legal advice and does not establish an attorney-client relationship.
Quick, user friendly and one of the better ways I've come across to get ahold of lawyers willing to take new clients.
View Trustpilot ReviewNeed help with a Noncompete Agreement?
Employment lawyers by top cities
- Austin Employment Lawyers
- Boston Employment Lawyers
- Chicago Employment Lawyers
- Dallas Employment Lawyers
- Denver Employment Lawyers
- Houston Employment Lawyers
- Los Angeles Employment Lawyers
- New York Employment Lawyers
- Phoenix Employment Lawyers
- San Diego Employment Lawyers
- Tampa Employment Lawyers
California Noncompete Agreement lawyers by city
- Anaheim Noncompete Agreement Lawyers
- Antioch Noncompete Agreement Lawyers
- Bakersfield Noncompete Agreement Lawyers
- Berkeley Noncompete Agreement Lawyers
- Burbank Noncompete Agreement Lawyers
- Carlsbad Noncompete Agreement Lawyers
- Chula Vista Noncompete Agreement Lawyers
- Clovis Noncompete Agreement Lawyers
- Concord Noncompete Agreement Lawyers
- Corona Noncompete Agreement Lawyers
- Costa Mesa Noncompete Agreement Lawyers
- Downey Noncompete Agreement Lawyers
- El Cajon Noncompete Agreement Lawyers
- El Monte Noncompete Agreement Lawyers
- Elk Grove Noncompete Agreement Lawyers
- Escondido Noncompete Agreement Lawyers
- Fairfield Noncompete Agreement Lawyers
- Fontana Noncompete Agreement Lawyers
- Fremont Noncompete Agreement Lawyers
- Fresno Noncompete Agreement Lawyers
- Fullerton Noncompete Agreement Lawyers
- Garden Grove Noncompete Agreement Lawyers
- Glendale Noncompete Agreement Lawyers
- Hayward Noncompete Agreement Lawyers
- Huntington Beach Noncompete Agreement Lawyers
- Inglewood Noncompete Agreement Lawyers
- Irvine Noncompete Agreement Lawyers
- Jurupa Valley Noncompete Agreement Lawyers
- Lancaster Noncompete Agreement Lawyers
- Long Beach Noncompete Agreement Lawyers
- Los Angeles Noncompete Agreement Lawyers
- Menifee Noncompete Agreement Lawyers
- Modesto Noncompete Agreement Lawyers
- Moreno Valley Noncompete Agreement Lawyers
- Murrieta Noncompete Agreement Lawyers
- Oakland Noncompete Agreement Lawyers
- Oceanside Noncompete Agreement Lawyers
- Ontario Noncompete Agreement Lawyers
- Orange Noncompete Agreement Lawyers
- Oxnard Noncompete Agreement Lawyers
- Palmdale Noncompete Agreement Lawyers
- Pasadena Noncompete Agreement Lawyers
- Pomona Noncompete Agreement Lawyers
- Rancho Cucamonga Noncompete Agreement Lawyers
- Rialto Noncompete Agreement Lawyers
- Richmond Noncompete Agreement Lawyers
- Riverside Noncompete Agreement Lawyers
- Roseville Noncompete Agreement Lawyers
- Sacramento Noncompete Agreement Lawyers
- Salinas Noncompete Agreement Lawyers
- San Bernardino Noncompete Agreement Lawyers
- San Diego Noncompete Agreement Lawyers
- San Francisco Noncompete Agreement Lawyers
- San Jose Noncompete Agreement Lawyers
- Santa Ana Noncompete Agreement Lawyers
- Santa Clara Noncompete Agreement Lawyers
- Santa Clarita Noncompete Agreement Lawyers
- Santa Maria Noncompete Agreement Lawyers
- Santa Rosa Noncompete Agreement Lawyers
- Simi Valley Noncompete Agreement Lawyers
- Stockton Noncompete Agreement Lawyers
- Sunnyvale Noncompete Agreement Lawyers
- Temecula Noncompete Agreement Lawyers
- Thousand Oaks Noncompete Agreement Lawyers
- Torrance Noncompete Agreement Lawyers
- Vacaville Noncompete Agreement Lawyers
- Vallejo Noncompete Agreement Lawyers
- Victorville Noncompete Agreement Lawyers
- Visalia Noncompete Agreement Lawyers
- West Covina Noncompete Agreement Lawyers
ContractsCounsel User
Non-Compete Clause in Employment (1099) contract
Location: Massachusetts
Turnaround: Less than a week
Service: Contract Review
Doc Type: Non-Compete Agreement
Page Count: 8
Number of Bids: 5
Bid Range: $250 - $795
User Feedback:
ContractsCounsel User