Non-Compete, General Provision

Sample 1

At all times while you’re employed by company and for six months after your employment terminates, you will not directly or indirectly:

i. own, manage, operate, finance, join, control, advise, consult, render services to have an interest or future interest in or participate in the ownership, management, operation, financing or control of, or be employed by or connected in any manner with any Competing Business;

ii. solicit for employment, higher or for employment to, or otherwise aided or assist (by disclosing information about employees or otherwise) any other person or entity other than company or a company subsidiary in soliciting for employment, hiring or offering employment to, any employee of company or a company subsidiary; or

iii. take any action which is intended to harm company or its reputation, or the company reasonably concludes could harm company or its reputation or lead to unwanted or unfavorable publicity for company.
Ownership of an investment of less than the greater of $25,000 or 1% of any class of equity or debt security of a Competing Business will not be deemed ownership or participation in ownership for the purposes of this agreement.

“Competing Business” includes, but is not limited to,

Sample 2

Executive agrees that, during the noncompete period as defined in this agreement, executive shall not directly or indirectly engage in or participate as an owner, partner, stockholder, officer, employee, director, agent out of or consultant for any business competitive with any business of company, without the written consent of company; provided, however, that this provision shall not prevent executive from investing as less than a 1% stockholder in the securities of any company listed on a national securities exchange or quoted on an automated quotation system.

The noncompete period shall cover the entire employment term and the six-month period subsequent to the employment term; provided, however, that, if executive’s employment terminates before the end of the employment term, the noncompete period shall terminate, if earlier, (i) six months after Company terminates executive’s employment without cause, or (ii) six months after executive is terminated in connection with the relocation of executives position without executives mutual consent.

Jurisdiction-variance notice (add to every non-compete-related clause used): Non-compete restrictions are void or unenforceable as a matter of state law in California, Minnesota, North Dakota, and Oklahoma, and Washington's near-total ban takes effect June 30, 2027. Several other states (e.g., Illinois, Colorado, Maine, Maryland, New Hampshire, Oregon, Rhode Island, Virginia, and Washington, D.C.) impose salary thresholds, advance-notice requirements, or other conditions on enforceability. Confirm the current rule in the executive's home state -- and any state where the restriction would be enforced -- before relying on this clause; in a ban state, no drafting choice makes a non-compete enforceable.