Minnesota
Non-Compete Agreement Attorney

Woman signing non-compete agreementNon-compete agreements are restrictive covenants that prevents you from working for a competitor.

As of July 1, 2023 non-compete agreements are banned in Minnesota. The ban on non-compete agreements applies to agreements entered into on or after July 1, 2023. The new legislation Minn. Stat. § 181.988 does not apply retroactively to agreements entered into before that date. Therefore, Minnesota courts will continue to evaluate non-compete agreements entered into before July 1, 2023 based on the law that has been established prior to July 1, 2023. Prior to the new legislation Minnesota courts already looked upon non-compete agreements with disfavor and cautiously considered and carefully scrutinized them. Non-compete agreements that served a legitimate employer interest and were not broader than necessary to protect that interest were enforceable. It is likely that cases to enforce existing non-compete agreements will be impacted by this new legislation. Enforcing a non-compete agreement in Minnesota will become more difficult, but non-solicitation and confidentiality agreements are still enforceable if carefully drafted and protect legitimate business interests.

The types of legitimate business interest the Courts have said can be protected by a non-compete agreement in the past included protecting an employer against an employee capitalizing on the relationship established with the employer’s customers. Other legitimate business interests that have been protected by non-compete agreements include preventing the disclosure, or the potential disclosure, of confidential information, trade secrets or using this information for competitive purposes. This would include confidential and proprietary information.

Here's What an Experienced Non-Compete Lawyer Can Do for You:

Employment Agreements that Benefit You

Before signing or requiring employees to sign an employment agreement, contact an experienced non-compete contract attorney to ensure your best interests are met. Contact the law office of John Holden today.

Minnesota Employment Attorney

John C. Holden picture

John C. Holden, Esq.
Holden Law Firm

12800 Whitewater Drive, Suite 100
Minnetonka, MN 55343

952-943-3960
John@holdenlawfirm.com

Over 30 Years Experience
Silver champion award
distinguished attorney award 2021
Chamber of commerce badge
North Star Lawyer logo

Non-Compete Agreement Attorney

Woman signing non-compete agreementNon-compete agreements are restrictive covenants that prevents you from working for a competitor. In Minnesota non-compete agreements are looked upon with disfavor and are cautiously considered and carefully scrutinized by Courts, but are enforceable. Non-compete agreements are enforceable if they serve a legitimate employer interest and are not broader than necessary to protect that interest. Courts will uphold non-compete agreements that are reasonable and protect a legitimate business interest.

The types of legitimate business interest the Courts have said can be protected by a non-compete agreement include protecting an employer against an employee capitalizing on the relationship established with the employer’s customers. Other legitimate business interests that have been protected by non-compete include preventing the disclosure, or the potential disclosure, of confidential information, trade secrets or using this information for competitive purposes. This would include confidential and proprietary information.

Here's What an Experienced Non-Compete Lawyer Can Do for You:

Employment Agreements that Benefit You

Before signing or requiring employees to sign a non-compete, contact an experienced non-compete attorney to ensure your best interests are met. Contact the law office of John Holden today.

Minnesota Employment Attorney

John C. Holden picture

John C. Holden, Esq.
Holden Law Firm

12800 Whitewater Drive, Suite 100
Minnetonka, MN 55343

952-943-3960
John@holdenlawfirm.com

Over 30 Years Experience
Silver champion award
distinguished attorney award 2021
Chamber of commerce badge
North Star Lawyer logo

Non-Compete Agreements - FAQ

Should you have additional questions about your Non-Compete Agreements or rights as an employee, give Holden Law Firm a call to schedule a phone consultation to go over your situation. Safeguard your rights before signing.

Non-Competes have become commonplace in the workplace in Minnesota and can be burdensome to employees and an effective way for employers to protect their business, employees, confidential information and trade secrets. It is a myth that non-competes can’t be enforced against an employee and prevent the employee from working in a job that competes with their former employer.

If an employee signs a valid non-compete it could be enforced against the employee if the employee takes a position that competes with the employee’s previous employer. If the employee doesn’t take a position that competes with the previous employer and doesn’t take any action that causes any damages or is not likely to cause damages to the previous employer it is unlikely that a non-compete would be enforced against the employee.

There are many ways that the non-compete could be flawed and it is important to discuss this with an employment attorney before signing the non-compete or when the employee is thinking about taking a new position that may compete with the previous employer.

In Minnesota, employment non-compete agreements are looked upon with disfavor and are cautiously considered and carefully scrutinized. However, non-compete agreements are enforceable if they serve a legitimate employer interest and are not broader than necessary to protect this interest.

An employer may enforce a Non-Compete Agreement against an employee who has been terminated unless the employer has taken undue advantage of its right to terminate.

Almost all non-compete cases are decided in the context of a motion for either a temporary restraining order (TRO) or a temporary injunction.  A court will decide if the employee should be prevented from engaging in competitive activities and may award damages including, in certain cases, legal expenses. 

Contact A Twin Cities Non-Compete Attorney

Contact A Twin Cities
Non-Compete Attorney

Learn more about non-compete contracts and how best to protect yourself, business or assets by contacting Holden Law Firm today.