Non-Compete Agreement in New Hampshire
State-specific overview · Employment Law
New Hampshire enforces reasonable non-competes that protect legitimate business interests without undue hardship.
How New Hampshire treats Non-Compete Agreement
New Hampshire courts enforce non-compete agreements if they are reasonable in duration, area, and line of business, and protect a legitimate business interest such as trade secrets, confidential information, or customer relationships. The state applies a reasonableness standard and considers whether the restriction causes undue hardship to the employee or public interest. Agreements must be supported by adequate consideration and cannot be unconscionable. Courts will modify overly broad restrictions rather than void them entirely in some circumstances.
The general definition of Non-Compete Agreement
A contract clause restricting an employee from working for competitors or starting a competing business after leaving.
A non-compete agreement is a contract between an employer and employee that prevents the employee from working for a competitor or starting a competing business for a set period after leaving the job. These agreements are designed to protect the employer's trade secrets and customer relationships. However, courts scrutinize them carefully because they restrict a person's right to earn a living. A non-compete is generally enforceable only if it is reasonable in scope (limited to a specific geographic area and time period) and protects a legitimate business interest. Some states, like California, disfavor non-competes entirely.
Read the full Non-Compete Agreement entry →This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in New Hampshire.