California · Standard edition

California Non-Compete Agreement Template

Create a California non-compete agreement online. The Standard non-compete covers the restricted activities, restricted period, geographic area, consideration, confidentiality, protected rights, court modification, and the California rules that decide whether a non-compete is enforceable.

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California rules built into this template

  • Under Cal. Bus. & Prof. Code § 16600, a contract that restrains anyone from engaging in a lawful profession, trade, or business is void unless a statutory exception applies, such as the sale of a business or its goodwill (§ 16601) or the dissolution of a partnership or LLC (§§ 16602, 16602.5). Under § 16600.5, a void non-compete is unenforceable regardless of where or when it was signed, and an employer may not enter into or attempt to enforce one.
  • Federal law: the FTC's 2024 rule banning most non-competes was set aside by a federal court and is not in effect, so state law controls.

What the Non-Compete Agreement includes

  1. Purpose and Legitimate Business Interests
  2. Non-Competition
  3. Restricted Period
  4. Geographic Area
  5. Consideration
  6. Confidentiality
  7. Protected Rights
  8. Acknowledgments
  9. Remedies
  10. Reformation and Severability
  11. State Law Requirements
  12. General Provisions
  13. Governing Law

Frequently asked questions

Are non-compete agreements enforceable in California?
Generally no. California voids post-employment non-competes for employees regardless of where they were signed, except in limited cases such as the sale of a business. The California version of the Standard agreement keeps only restrictions that apply during employment or under those exceptions.
How long can a non-compete last?
Courts in California look at whether the length is reasonable for the business interest being protected. Many enforceable employee non-competes last between six months and two years.
What is the difference between the Standard and Professional Non-Compete Agreement?
The Standard edition is a complete, state-aware Non-Compete Agreement for common situations. The Professional edition adds longer clause coverage, schedules, and optional modules for more complex matters. You can preview either edition free before you pay.

Non-Compete Agreement templates for other states

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