North Carolina Noncompete Agreement: What's Included and Enforceability
Quick Facts — Noncompete Agreement Lawyers
- Avg cost to draft a Non-Compete Agreement: $550.00
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Is a Non-Compete Agreement Enforceable in North Carolina?
Yes. In North Carolina, non-compete agreements are enforceable as long as the contract adheres to the following requirements:
- The non-compete must be in writing under North Carolina law.
- It must be reasonable in duration and territory.
- The non-compete must be part of an employment contract.
- There needs to be valuable consideration.
- The non-compete must protect a legitimate business interest.
In addition, non-compete agreements can never be enforced against attorneys or locksmiths in North Carolina.
How Long Does a North Carolina Non-Compete Agreement Last?
The duration of a non-compete agreement in North Carolina is not set by state statute so determining how long a non-compete can last will vary case to case depending on the circumstances. Most non-compete agreements only last a couple of years but in North Carolina, agreements lasting up to five years have been ruled reasonable under extreme circumstances.
How Do You Get Around a Non-Compete Agreement in North Carolina?
To get around a non-compete agreement in North Carolina, an employee will have to prove to the court that the agreement does not meet one or more of the requirements that make a non-compete enforceable.
This is most often accomplished by proving that the duration of the agreement is too long or the territory is too large. In North Carolina, time and territory in a non-compete are viewed in tandem. The longer the agreement duration, the smaller the territory needs to be.
What Voids a Non-Compete Agreement in North Carolina?
A non-compete agreement will be void if it is not based on valuable consideration. In North Carolina, continued employment is not adequate consideration because non-compete agreements are already required to be a part of an employment contract. Additional consideration can be a promotion, a raise in pay, or the promise of advance training or schooling.
Frequently Asked Questions
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Meet some of our North Carolina Noncompete Agreement Lawyers
Nicholas M.
Nicholas Matlach is a cybersecurity expert (CISSP) and an attorney who is dedicated to helping small businesses succeed. He is a client-focused professional who has a deep understanding of the challenges that small businesses face in the digital age. He also provides legal counsel to small businesses on a variety of issues, including formation, intellectual property, contracts, and employment law.
"Enjoyed his demeanor. Professional yet down to earth. The document created for me was very explicit and easy to read. I would recommend :)"
David W.
David provides legal representation with flat fee pricing for services in many practice areas including Business Law, Local Government, Contracts, Estate Planning, and Trademarks. His legal expertise is complemented by a diverse background as a former stockbroker and registered investment advisor, treasurer of a $1 billion+ non-profit, and elected county official. David H. Williams Law, PLLC is committed to providing expert legal services at a flat fee, making specialized legal counsel more accessible and affordable. Reach out to today to schedule a complimentary consultation to see if David's diverse skill sets are a fit for you or your organization's legal needs. https://davidhwilliamslaw.cliogrow.com/book https://davidhwilliamslaw.com/
"David was very helpful in answer my questions. He went above and beyond to inform me on my real estate inquiries and have provide valuable recommendations."
Deanna M.
I have had the opportunity to experience the legal industry in a private setting and public sector, representing individuals, companies of all sizes, as well as the Government. As a strong leader, I take pride in continuously tackling new challenges and learning as much as possible, always finding answers and delivering results to my clients. I received my JD from Ave Maria School of Law in Naples, Florida and went on to pass the Uniform Bar Exam. I am currently licensed in Minnesota and North Carolina. I have experience in real estate law, estate planning, contract law, family law, criminal law, and more.
"Deanna is very professional, easy to work with, clarifies doubt quickly, fast turnaround and value for money. I am very happy with the service. I would highly recommend her for any services that she offers."
Taylor A.
After starting my professional career in Human Resources in the Healthcare and Non-profit fields, I decided to expand my options and attended law school, passing the North Carolina bar in 2016. Since then, I have practiced in-house for healthcare companies, in the civil rights arena, and run my own business. I am currently looking to return to my legal roots and am excited to practice business law again.
"Excellent service by a knowledgeable attorney at a lower price than I expected. Her comprehensive organizational program identified end of life planning I needed to do and provided a system to help keep all my information where I can easily update it and help my loved ones when they will need it most. I will use Ms. Abbasi again in the future. I highly recommend her for all estate planning needs."
Steven W.
Attorney Steven Wax is ardent about helping his clients. Whether creating personalized estate plans, drafting and negotiating contracts or other legal matters. Steven’s goal is to assist and counsel his clients to protect them and their loved ones. Steven grew up on Long Island, New York. He attended the University of Massachusetts in Amherst earning a BS in Sport Management. He earned his paralegal certificate at Duke University and earned his Juris Doctorate from North Carolina Central University School of Law in Durham, NC. Steven has an extensive legal career in the life science sector, working for some of the world’s largest Contract Research Organizations since 2013. Steven has negotiated a broad range of contracts for both businesses and individuals. Steven participated in the NCCU Elder Law Project, where he prepared wills, durable powers of attorney, living wills, and health care powers of attorneys for low/fixed income clients in Durham and surrounding counties. Steven finds meaningful ways to share his skills and passion with his community. Steven volunteers his time to Wills for Heroes, which provides no-cost estate planning documents to first responders and their families, through the NC Bar Foundation.
"Steven was patient and effective when answering my questions and with the drafting process. Thank you Steven"
July 27, 2023
Peter R.
Admitted in NC in 1994. Law degrees from English and US law schools. Civil and criminal litigation experience as well as in house corporate attorney. Recipient of the highest civilian honors from 14 states, the Ellis Island Medal of Honor, a papally blessed knighthood and listed in NLJ as a recipient of on of their Pro Bono Attorney of the Year Award winners and the NLJ top 40 trial lawyers in the USA under 40 years old.
September 15, 2023
Sarah F.
Sarah brings together her accounting and legal background to help solve client problems. Sarah couples her broad, general commercial legal background with our client’s international and business problems to arrive at elegant solutions that work for their business.
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Employment
Noncompete Agreement
Washington
Noncompete agreement and public policy?
I recently accepted a job offer with a new employer who asked me to sign a noncompete agreement. I am concerned that the agreement may not be in line with public policy and wanted to get a professional opinion from a lawyer to make sure I am not putting myself in a difficult situation.
Merry K.
If you are in Washington State, where I'm licensed, as opposed to D.C., please let me know what kind of help you are looking for - have you already signed the agreement? I've been a WA State attorney for nearly 38 years, and specialize in employment law.
Employee Rights
Noncompete Agreement
California
i work for a employer from illinois ,however i am in california. My contract has non compete clause. will that be enforceable
My employer has placed me in a position thru another vendor. My employer contract with that vendor is ending. So vendor contacted me. However I am in contract with my employer for 1 year contract.
Christopher M.
Short answer: Probably no, non-compete and non-solicitation clauses are not usually enforceable on an employee in California. Long Answer: Regardless of the choice of law provision in your contract, if an enforcement action is brought against you in California, the California courts will dismiss it as it goes against the "public policy of the state" unless your employer can make a really compelling case. Most states respect the stated public policy of other states when deciding matters against their citizens, so even if the case was brought in another states courts your soon to be former employer would probably be powerless to get a judgement enforcing your non-compete.
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.
Contracts
Noncompete Agreement
Florida
Noncompete agreement choice of law?
I recently accepted a job offer with a new employer and they sent me a Noncompete Agreement to sign. I have some questions about the agreement, specifically related to the choice of law. My former employer and I are in different states, and I want to make sure I understand the implications of the agreement before signing.
Venus C.
Congratulations on your new job. Generally, a choice of law clause contained in a non-compete agreement indicates which state law will govern the contract. By way of general example, let's pretend we have a non-compete agreement that states the choice of law is Florida. Let's also pretend the parties to this agreement had a dispute and one party filed a lawsuit against the other in the state of New York. In this pretend scenario, because the parties agreed Florida to be their choice of law for the non-compete agreement, the court in New York would abide by that contractual agreement and apply Florida law. While choice of law clauses are commonly used to indicate what law will apply to a contract, the language used or omitted plays a significant role in their interpretation and enforceability.
Employee Rights
Noncompete Agreement
Florida
Noncompete agreement geographic scope?
I recently left my job of five years and have been offered a new position with a competitor. The new employer has asked me to sign a noncompete agreement. I am concerned about the geographic scope of the agreement and need to understand what areas it would cover, and if it would prevent me from taking a position with a competitor in another state or country.
Daniel D.
The Courts use a reasonableness standard determine if a non-compete is reasonable in time and geographic scope. It would be necessary to see the non-compete to tell you what it says, the areas it would cover and if it would prevent you from taking another position.
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