Can I require employees to sign non-compete agreements in New Hampshire? What are the requirements?

Non-Compete Agreements in New Hampshire

In New Hampshire, non-compete agreements are generally enforceable, but there are certain requirements that must be met.

Requirements for Non-Compete Agreements

1. Consideration: The employer must provide the employee with some form of consideration, such as a job offer or a promotion, in exchange for signing the non-compete agreement.
2. Reasonable Scope: The non-compete agreement must be reasonable in scope, meaning it cannot be overly broad or restrictive. The agreement must be limited in duration, geographic scope, and the type of activity restricted.
3. Legitimate Business Interest: The employer must have a legitimate business interest to protect, such as trade secrets or confidential information.
4. Notice: The employer must provide the employee with notice of the non-compete agreement before or at the time of employment.

New Hampshire Law on Non-Compete Agreements

New Hampshire has not enacted any specific statutes governing non-compete agreements. However, New Hampshire courts have established common law principles that govern the enforceability of non-compete agreements.

In general, New Hampshire courts will enforce non-compete agreements that are reasonable in scope and necessary to protect the employer’s legitimate business interests. However, if the non-compete agreement is overly broad or restrictive, the court may refuse to enforce it.

Jurisdiction

New Hampshire

• Labor