Are Non Compete Agreements Enforceable In Massachusetts

A civil action in connection with a non-compete clause in Massachusetts must be brought in the district where the worker resides or in Suffolk County if the employer and the worker mutually agree to continue in the suit. The law allows courts to rewrite non-competition rules in order to make them valid and enforceable, to the extent necessary to protect the employer`s legitimate business interest. However, the amendment is left to the discretion of the Tribunal, so employers should not rely on a “Blue Pencil” provision to save a non-compete clause that would otherwise be inconsistent with public policy. What, then, was the “different thinking” that the General Court considered sufficient after the new non-competition clause? It turned out to be the same type of boiler platform that has existed for years in these agreements: while competition bans are found in a large number of situations, there are certain professions where these agreements are more frequent. Although many U.S. states have had competition bans on their books for years, Massachusetts was not one of them until Governor Baker`s most recent legislation was signed. Instead, the courts have relied on precedent to decide whether to impose a non-competition clause. Some key concepts from previous court decisions were taken up in the new adopted statute, because the intention of the language was to strike a balance between competing public guidelines: according to Massachusetts law, a non-compete clause does not apply to a low-wage employee. The law states that employees considered “not exempt” under the FLSA may not be required to sign a non-compete clause.

A brief history of non-compete laws in Massachusetts , BostInno.com, April 10, 2014 Sketching out the history of competition prohibitions from 1711 to 2014 Competition bans are also prohibited or unenforceable if an employee is fired or fired for no reason. This would not be the case if the employee had been dismissed for a significant reason. If you are an employee or employer in New Bedford, Worcester, Lowell, Springfield, Pittsfield or Hyannis and have any questions about the applicability of the non-compete rules, contact us today. Applicability to other restrictive agreements: The recently passed law is limited to prohibitions of competition, so it does not affect other restrictive agreements that employers often invite employers to sign….