Question 1

What is a non-compete clause?

Accepted Answer

A non-compete restricts you from working for a competitor for a specified period (usually 6 months–2 years) within a specified geography (city, state, or industry). Example: "You cannot work for any company in the software industry within 50 miles of our headquarters for 12 months after leaving." Non-competes are the broadest restriction and are disfavored by courts because they limit your ability to earn a livelihood.

Question 2

What is a non-solicitation clause?

Accepted Answer

A non-solicitation restricts you from recruiting former colleagues or contacting former clients after you leave. It does not prevent you from working for a competitor — only from recruiting people or taking customers with you. Example: "You may not recruit employees of the company for 12 months after leaving." Non-solicitations are generally more enforceable than non-competes because they protect specific business relationships.

Question 3

Which is worse: non-compete or non-solicitation?

Accepted Answer

Non-compete is usually worse. A non-compete prevents you from working in your field entirely. A non-solicitation lets you work for a competitor, just not with people or clients from your prior employer. In most cases, non-solicitation is narrower and easier to live with — but the impact depends on the specific language and your industry.

Question 4

Which is more likely to be enforced by courts?

Accepted Answer

Non-solicitation clauses are more enforceable. Courts see them as reasonable protections of business relationships. Non-competes are disfavored — courts will only enforce them if they're narrowly tailored (short duration, limited geography, specific industry). California largely bans non-competes entirely. Most other states enforce reasonable non-competes but void overly broad ones.

Question 5

Can I negotiate these clauses out?

Accepted Answer

Yes, both are negotiable at the offer stage. For non-competes: ask to shorten the duration (6 months instead of 12 months), narrow the geography (your city instead of the state), or carve out specific types of work you want to do. For non-solicitation: ask to limit it to senior employees, or request "legitimate business interest" exception if you independently develop customer relationships. Most employers will negotiate if you ask.

Question 6

What happens if I violate a non-compete or non-solicitation?

Accepted Answer

The company can sue for damages (often $10K–$100K+), seek an injunction (court order to stop), and pursue attorney fees. Damages are based on the company's claimed harm. Injunctions can prevent you from working entirely. Insurance doesn't typically cover violations. The better strategy: negotiate reasonable terms before signing.

Non-Compete vs Non-Solicitation: What's the Real Difference?

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