Mississippi Noncompete Agreement: What's Included and Enforceability

Quick Facts — Noncompete Agreement Lawyers

Is a Non-Compete Agreement Enforceable in Mississippi?

Yes. Non-compete agreements are enforceable in Mississippi as long as the agreement is reasonable. The goal of a non-compete agreement is to balance the protection of an employer’s business interests with the employee’s right to work and earn a living.

In Mississippi a non-compete agreement is considered reasonable if it balances these interests. This means the agreements must limit an ex-employee from creating unfair competition, while also not being overly oppressive as to take away that employee’s opportunity to work.

How Long Does a Mississippi Non-Compete Agreement Last?

The maximum term for non-compete agreements are not set by statute but determined by the courts. The court will look at factors like the geographic boundary to decide whether the term of a non-compete is reasonable.

For example, in one case the court ruled that a non-compete with a 50 mile radius and a duration of six years was permissible. In another case, the court allowed a statewide non-compete that lasted two years.

How Do You Get Around a Non-Compete Agreement in Mississippi?

If an employee wants to get around a non-compete agreement in Mississippi, they must convince the court that the agreement is unreasonable and imposes an undue hardship.

In Mississippi, courts are permitted to “blue pencil” non-compete agreements to make the agreement enforceable. This is the practice of a court modifying or striking down certain parts of an unenforceable agreement to make it enforceable. While this won’t allow an employee to completely get out of an agreement, it will change the agreement in the employee’s favor to make it more reasonable.

What Voids a Non-Compete Agreement in Mississippi?

Like all contracts, the agreement must be entered into voluntarily and without fraud. If an employee is threatened or coerced to sign the non-compete agreement, or if the employer used false pretenses to get the employee to sign, the contract will be void and unenforceable.

Frequently Asked Questions

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Alan B. on ContractsCounsel
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Alan B.

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5 Yrs Experience
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Presently, I am a civil rights and insurance litigation attorney with a focus on representation government entities. Prior to this, I’ve represented some of the largest financial institutions in the world in litigation.

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Employer

Noncompete Agreement

Florida

Asked on Jul 6, 2023

How to draft a noncompete agreement?

I am a business owner who is looking to hire a new employee and I want to ensure that my business does not suffer from any competition that the employee might bring in the future. I need to know how to draft a noncompete agreement so that I can protect my business from any potential risks.

Daniel D.

Answered Jul 21, 2023

Some things that would be relevant to know are: what industry are you in? What specific competition are you worried about? Are you going to include non-disclosure provisions, no-solicitation provisions or non-circumvention provisions? What risks are you specifically worried about?

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Asked on Jul 30, 2023

Noncompete agreement and severance packages?

I recently left my job of 5 years, where I had signed a non-compete agreement. I am now negotiating a severance package with my former employer and am unsure of what my rights and obligations are regarding the non-compete agreement. I am seeking clarification on how the non-compete agreement should be handled in relation to the terms of my severance package.

Diane D.

Answered Sep 1, 2023

To be able to answer this question, I would need to see the agreements. No one can answer your question without seeing the agreements.

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Employment

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Asked on Apr 15, 2021

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.

Answered Apr 16, 2021

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.

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Asked on Jul 13, 2023

Can a noncompete agreement be waived?

I am a small business owner in the retail industry and I am looking to hire a new employee. The employee has a noncompete agreement with their previous employer that I am concerned about. I want to know if it's possible for the agreement to be waived so that I can be sure I'm making the right decision in hiring this employee.

Thomas L.

Answered Jul 21, 2023

Yes, the parties to contracts can always agree to amendments and waivers. However, the former employer may have no interest in waiving the contract in this particular situation.

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Asked on Jun 4, 2023

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.

Answered Jul 11, 2023

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.

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