Free Non-Compete Agreement Template, Fill & Sign Online
A non-compete agreement restricts someone from working for a competitor, or starting one, for a period after they leave. It is the most frequently signed and most frequently unenforceable document in business, because enforceability depends entirely on where the person lives and how narrow the restriction is.
Check your jurisdiction before you use one. California, North Dakota, Oklahoma and Minnesota void most employee non-competes outright. Several other US states cap them by salary. The UK enforces them only where genuinely necessary and short.
Self-signing is free, local & private, never uploaded. Sending for signature needs a free account (just your email).
What makes a non-compete survive a challenge
- A protectable interest: trade secrets, confidential methods, customer relationships you paid to build. "We do not want competition" is not one, anywhere.
- Duration: 6 to 12 months is usually defensible. Two years and up is regularly struck down.
- Geography: limited to where the business actually operates. "Worldwide" reads as overreach and can void the whole clause.
- Scope of activity: the specific role, not every job at any competitor. Barring a designer from working as a receptionist at a rival fails.
- Consideration: something given in exchange. Continued employment is enough in some states and not others; a signing bonus is safer.
- Severability: so an over-wide clause is narrowed rather than the whole agreement collapsing.
- Governing law: though note that courts often apply the employee's home-state law regardless of what the contract picks.
Mistakes that void a non-compete
- Using one at all in a state that bans them. In California an unenforceable non-compete can itself expose the employer to liability.
- One template for every employee. A restriction reasonable for a sales director is not reasonable for a junior support agent, and courts assess each on its own facts.
- Asking for the signature after the person has already started. In several jurisdictions the offer of the job was the consideration, and it has now been spent.
- Reaching for a non-compete when the real worry is client poaching or leaked information. A non-solicitation or confidentiality clause targets that and is far more likely to be enforced.
Common questions
Are non-competes enforceable?
It depends entirely on jurisdiction. Some US states void them for employees outright; others enforce narrow ones. The UK, Germany and France each apply their own limits — Germany and France generally require the employer to keep paying during the restricted period. Check local law before relying on one.
What is the difference between a non-compete and a non-solicitation?
A non-compete stops someone working in your field. A non-solicitation only stops them approaching your clients or staff. Non-solicitations are narrower, far more widely enforced, and usually the thing an employer actually needs.
How long should a non-compete last?
Shorter is stronger. Six to twelve months is commonly upheld; beyond two years, courts in most jurisdictions start looking for a reason to strike it out.
This page is general information for small businesses, not legal advice. For your specific situation, talk to a licensed attorney in your state.