Is My Non-Compete Enforceable? A State-by-State Reality Check
A non-compete tries to stop you from working for competitors after you leave a job. But "in the contract" and "enforceable" are very different things — and which one applies depends mostly on the state where you work.
States where non-competes are essentially void
In a handful of states, employee non-competes are unenforceable as a matter of law — the clause can be in your contract and still mean almost nothing.
- California — void under Business & Professions Code §16600 (and employers can face penalties for requiring them).
- Minnesota — void for agreements signed on or after July 1, 2023.
- North Dakota and Oklahoma — employee non-competes are void by statute.
States that limit them by income or notice
Many states allow non-competes only above a salary threshold, or require advance notice before you accept the job. Examples include Illinois, Colorado, Washington, Virginia, Maine, Maryland, New Hampshire, Oregon, and Rhode Island. Below the threshold, the clause is often void.
Even where allowed, overbroad terms fail
In states that permit non-competes, courts still require them to be "reasonable." A clause that is national in scope, lasts several years, or covers an entire industry is far more likely to be struck down or narrowed.
- Duration longer than 1–2 years is often suspect.
- Nationwide or statewide geography for a local role is a red flag.
- Restrictions on skills you had before the job are usually unenforceable.
The governing-law trap
Contracts often pick the employer’s state as the "governing law." But your home state’s protections frequently can’t be waived — a California employee generally keeps §16600 protection even if the contract says another state’s law applies. This is exactly the kind of conflict worth checking.
What to do
- Find out your work state’s rule before you sign.
- Ask to narrow the duration, geography, and scope.
- If it’s likely void in your state, say so in negotiation.
Don't guess — check your actual contract
Upload your employment contract and our AI will flag the risky clauses in plain English, tuned to your state, with a downloadable report and redline.
This guide is general information from ClauseAudit, not legal advice. Laws vary by state and change — consult a qualified attorney for your situation.