In Massachusetts, a non-compete agreement signed on or after October 1, 2018 is only enforceable if it satisfies the strict requirements of the Massachusetts Noncompetition Agreement Act (MNAA), codified at G.L. c. 149, § 24L. Under that law, a valid non-compete generally cannot last longer than 12 months, must be supported by a “garden leave” payment of at least 50% of the employee’s highest annualized base salary during the restricted period (or other agreed consideration), must be in writing and signed by both the employer and the employee, and must expressly state that the employee has the right to consult a lawyer before signing. Critically, the MNAA makes non-competes unenforceable against non-exempt (overtime-eligible) workers, employees who are laid off or fired without cause, workers under 18, and student interns. This is a far more employee-protective regime than the federal baseline, where there is currently no nationwide ban on non-competes.
Massachusetts’s specific rules for a valid non-compete
The MNAA replaced decades of judge-made common law with a detailed statute. For a non-compete entered into on or after October 1, 2018 to be enforceable, it must meet every one of these requirements:
In writing and signed by both parties, and it must affirmatively notify the employee of the right to consult counsel before signing.
Timing at hire: If the agreement is presented when you are hired, the employer must give it to you by the earlier of a formal offer or 10 business days before your start date.
Timing after hire: If you are asked to sign after employment begins, the agreement must be supported by “fair and reasonable consideration” beyond simply keeping your job, and you must again get at least 10 business days’ notice.
Garden leave or other consideration: During the restricted period the employer must pay you on a pro-rata basis at least 50% of your highest annualized base salary in the two years before termination, OR provide “other mutually-agreed-upon consideration” specified in the agreement.
Duration: The restriction generally cannot exceed 12 months after employment ends. It can extend up to two years only if you breached a fiduciary duty to the employer or unlawfully took company property.
Reasonable scope: The restriction must be no broader than necessary to protect a legitimate business interest—trade secrets, other confidential information, or goodwill—and must be reasonable in geographic reach and in the type of work restricted.
An agreement is presumed reasonable in geography if it is limited to areas where you actually provided services or had a material presence in the last two years, and presumed reasonable in scope if limited to the kind of work you did during that same period.
Who cannot be bound by a non-compete in Massachusetts
The MNAA flatly bars enforcement of non-competes against several categories of workers, no matter what the contract says:
Non-exempt employees under the federal Fair Labor Standards Act—in practice, most hourly and overtime-eligible workers. This is the Massachusetts equivalent of a low-wage worker ban.
Employees terminated without cause or laid off. If the company ends your employment without cause, it cannot enforce a non-compete against you.
Employees age 17 or younger.
Undergraduate or graduate students in an internship or other short-term employment while enrolled in school.
Separately, Massachusetts bans non-competes outright for certain licensed professionals. Physician non-competes are void under G.L. c. 112, § 12X, and similar statutory protections apply to nurses, psychologists, social workers, and certain broadcasting employees. If you work in one of these fields, a non-compete restricting your practice is generally unenforceable regardless of the MNAA.
What the law does NOT cover
The MNAA applies only to true non-competition agreements—contracts that stop you from working for a competitor. It does not govern several related restrictions that remain enforceable under ordinary contract and common-law rules:
Non-solicitation agreements (promising not to solicit the employer’s customers).
No-recruit / no-raid agreements (promising not to poach co-workers).
Confidentiality and non-disclosure agreements (NDAs).
Non-competes tied to the sale of a business where you are an owner getting paid for the sale.
Non-competes inside a separation agreement, as long as you are expressly given seven business days to rescind your acceptance.
Employers sometimes label a broad customer or co-worker restriction a “non-solicitation” clause to dodge the MNAA. Whether the law applies turns on what the clause actually does, not its title, so read the substance carefully.
The federal baseline and how Massachusetts compares
There is currently no federal statute banning non-competes. The Federal Trade Commission issued a rule in 2024 that would have voided most non-competes nationwide, but a federal court set that rule aside in 2024, so it is not in effect. The federal FLSA sets a national minimum wage of $7.25 per hour and requires overtime after 40 hours in a week for non-exempt workers—and the FLSA’s exempt/non-exempt classification is exactly the line Massachusetts borrows to decide who can be bound by a non-compete. Massachusetts’s own minimum wage is much higher: $15.00 per hour as of 2026. Because state wage figures can change, confirm the current rate with the Massachusetts agency named below before relying on a number.
Massachusetts also blocks a common employer workaround: under the MNAA, an employer cannot use another state’s law or an out-of-state court to escape these protections if you have lived in Massachusetts or worked here for at least 30 days before your employment ended. Disputes must be heard in the county where you live (or in Suffolk County business court).
What to do if you are asked to sign—or threatened with—a non-compete
Do not sign on the spot. You are entitled to advance notice and to consult an attorney. If an employer demands an immediate signature, that itself may violate the MNAA’s notice rules.
Check whether you are even covered. If you are hourly/overtime-eligible, were laid off or fired without cause, are under 18, or are a student intern, the agreement likely cannot be enforced against you.
Look at the date. Agreements signed before October 1, 2018 are governed by older common-law reasonableness rules, not the MNAA, so the analysis differs.
Confirm the garden-leave pay. If the contract restricts you for 12 months but promises nothing close to 50% of your base salary or other agreed consideration, it may fail the statute.
Keep records. Save the agreement, any offer letter, dates you received documents, and any communication threatening enforcement.
Get advice before a new job. Massachusetts courts can “blue-pencil” (narrow) an overbroad restriction, so the safest move is a lawyer’s review before you accept a competing offer.
Where to verify in Massachusetts
Non-compete disputes are ultimately decided in court, but for wage, classification, and broader employment-rights questions the key state agencies are the Office of the Massachusetts Attorney General’s Fair Labor Division, which enforces wage and hour laws and provides worker resources, and the Executive Office of Labor and Workforce Development (EOLWD), including the Department of Labor Standards. Use these official sources to confirm current minimum-wage figures and your classification as exempt or non-exempt. For a non-compete you have actually been asked to sign or are being threatened with, consult a Massachusetts employment attorney, because enforceability is highly fact-specific.
This article is general information, not legal advice. Because the consequences of a non-compete can affect your livelihood, verify the current law with the agencies above or a licensed Massachusetts attorney before acting.
Official Massachusetts Sources
This page is based on Massachusetts employment law. Rules and figures change — verify the current details directly with the official Massachusetts sources below. This is general legal information, not legal advice.
Federal law and local ordinances may also apply. Federal laws like the Fair Labor Standards Act set a national floor, and your city or county may add protections (such as a higher local minimum wage or paid sick leave). Check both alongside Massachusetts state law.
Frequently asked questions
Are non-competes legal in Massachusetts in 2026?
Yes, but only under strict limits. The Massachusetts Noncompetition Agreement Act (G.L. c. 149, Sec. 24L) governs agreements signed on or after October 1, 2018. A valid non-compete generally cannot exceed 12 months, must include garden-leave pay of at least 50% of your highest base salary or other agreed consideration, must be in writing with notice of your right to a lawyer, and cannot be enforced against hourly/non-exempt workers, laid-off employees, those fired without cause, minors, or student interns.
Can my employer enforce a non-compete if I was laid off in Massachusetts?
No. The MNAA expressly bars enforcement of a non-compete against an employee who is terminated without cause or laid off. If the company ended your job and not for misconduct, it generally cannot stop you from joining a competitor.
What is garden leave under the Massachusetts non-compete law?
Garden leave is a payment the employer must make during the restricted period. The MNAA requires at least 50% of your highest annualized base salary over the prior two years, paid pro-rata while the non-compete is in effect, OR other mutually-agreed-upon consideration specified in the agreement. Without one of these, the non-compete may be unenforceable.
Does the Massachusetts non-compete law apply to hourly workers?
No. Non-exempt employees under the federal FLSA, which covers most hourly and overtime-eligible workers, cannot be bound by a non-compete in Massachusetts. This functions as the state's ban on non-competes for lower-wage and hourly workers.
How long can a non-compete last in Massachusetts?
Generally no more than 12 months after your employment ends. A restriction can extend to a maximum of two years only if you breached a fiduciary duty to the employer or unlawfully took company property.
This article is general legal information, not legal advice, and may not reflect the most current law or the law in your jurisdiction. Laws vary by state and change over time. For advice about your specific situation, consult a licensed attorney.
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