Are Non-Solicitation Agreements Enforceable in Massachusetts?

Non-solicitation agreements are enforceable in Massachusetts when they meet a common-law reasonableness test: the restriction must protect a legitimate business interest, be reasonably limited in time and scope, and be consistent with the public interest. Unlike non-competes, these agreements are not governed by the Massachusetts Noncompetition Agreement Act, so there is no statutory garden-leave requirement and no fixed notice window. Courts look at the specific facts, and a significant number of agreements fail on one of the three prongs or are undercut by something that happened after you signed.

The Test Courts Actually Apply

Massachusetts courts enforce a restrictive covenant “only if it is necessary to protect a legitimate business interest, reasonably limited in time and space, and consonant with the public interest.”1Justia Law. Craig Boulanger v Dunkin Donuts Incorporated Federal courts applying Massachusetts law use the same framework for non-solicitation clauses.2GovInfo. First-Citizens Bank – USCOURTS-mad-1-25-cv-11331

All three parts must be satisfied. An agreement that protects something real but reaches too far will fail. One that is narrowly written but exists only to block ordinary competition will also fail. There are no bright-line rules, and the balance shifts case by case.

What Counts as a Legitimate Business Interest

This is where most non-solicitation fights are decided. Massachusetts recognizes three categories a non-solicitation clause can legitimately protect: trade secrets, confidential information, and goodwill.1Justia Law. Craig Boulanger v Dunkin Donuts Incorporated Trade secrets are proprietary formulas, processes, pricing strategies, or technical information that give the company a competitive advantage and are not publicly known. Confidential information covers client lists, internal financial data, and business strategies that fall short of trade-secret status but still have competitive value. Goodwill is the relationships and reputation the company has built with its clients, especially where you were the client’s main point of contact.

What courts will not protect is ordinary competition. A restrictive covenant “designed to protect a party from ordinary competition does not protect a legitimate business interest.”1Justia Law. Craig Boulanger v Dunkin Donuts Incorporated If your former employer cannot point to specific confidential information, trade secrets, or goodwill it is actually trying to protect, a boilerplate clause will not save them. This is often the strongest line of defense for a departing employee.

Reasonable Duration and Scope

The restriction has to be no more restrictive than necessary. One year is the duration that draws the least resistance in Massachusetts, and most courts will accept up to two years when the employer can explain why. Beyond two years, the employer has a steep climb. The underlying logic is that client relationships and confidential information lose their sensitivity over time, so a restriction outlasting the value of what it protects is overreach.

Scope matters as much as duration. A clause limited to clients and employees you actually dealt with has a far better chance of enforcement than one covering every account or every worker in the company, including people you never met. Geography carries less weight here than with non-competes because the restriction targets specific relationships rather than a market. But a non-solicitation agreement that effectively prevents you from working in your field because its contact list is too broad can still be struck down.

Active Versus Passive Solicitation

If a former client reaches out to you first, you may not be violating your agreement at all. In Townsend Oil Co. v. Tuccinardi, a Superior Court noted that “solicit” ordinarily means to seek something by persuasion or entreaty, and where the customer is doing the seeking, it is not at all clear that accepting the business breaches a non-solicitation obligation. The court observed that when a client follows a former employee out of personal loyalty, the goodwill belongs to the employee, and the agreement cannot be used to appropriate it.

The caution: the line between passive acceptance and quiet encouragement is fact-specific. A LinkedIn post announcing your new role, a “just checking in” email, or an informal lunch can be characterized as solicitation by a motivated former employer. If you are in this position, document who initiated each contact and avoid anything that could be read as a pitch.

Customer Clauses and Employee Clauses Are Judged Separately

Most non-solicitation agreements contain two different restrictions, and courts analyze them separately.

A customer non-solicitation clause bars you from pursuing the company’s clients. Enforcement is strongest when the clause is limited to clients you personally worked with or had meaningful contact with. A clause covering the entire client portfolio, including divisions you never touched, is more vulnerable.

An employee non-solicitation clause, sometimes called an anti-raiding provision, bars you from recruiting your former coworkers. Courts tend to be receptive to these, particularly when the departing employee held a management role with real influence over the team. Scope still matters: the clause should be limited to employees you actually worked with rather than every person on the payroll.

Your Agreement May Already Be Void

Even an otherwise valid agreement can lose its force if your job changed in a meaningful way after you signed. Massachusetts courts apply the material change doctrine: when an employee’s duties, compensation, or role substantially change after signing a restrictive covenant, the original agreement may no longer be valid. In Intepros, Inc. v. Athy, a Superior Court found a restrictive covenant unenforceable because the employee had been promoted, taken on different responsibilities, and received several salary increases after signing. The agreement was tied to one job; the employee now held a different one.

If you have been promoted, moved to a different division, or had your compensation structure overhauled since you signed, the original non-solicitation clause may not bind you. Employers who want to avoid this problem have to ask for a new signature whenever the relationship materially changes.

Acquisitions Create a Specific Version of This Problem

In Grace Hunt IT Solutions, LLC v. SIS Software, a Massachusetts court found that asking employees to sign new restrictive covenants after an acquisition “signaled that the old arrangement had been abandoned for a new relationship.” The successor’s decision to alter compensation and request new agreements undercut its ability to enforce the originals against employees who refused to sign.

If a new owner changes your pay, title, or reporting structure and then asks you to sign a new non-solicitation agreement, the old one may already be void. Refusing the new one can leave the employer with difficulty enforcing either.

Consideration

Every contract needs consideration. Because non-solicitation agreements fall outside the MNAA, that statute’s garden-leave and consideration rules do not apply.3General Court of Massachusetts. Massachusetts Code 149 Section 24L – Massachusetts Noncompetition Agreement Act Under common law, the offer of employment itself is generally sufficient consideration when you sign at or before the start of the job. If your employer asked you to sign after you were already working, whether continued employment alone is adequate consideration is less settled and depends on the circumstances.

What Happens If Part of the Agreement Is Too Broad

A partially overbroad agreement does not automatically fall apart. Massachusetts courts have long exercised the power to “blue pencil” restrictive covenants, narrowing unreasonable terms rather than voiding the whole contract. A court might reduce a three-year restriction to one year, or limit a clause covering all company clients to only those you directly served.

This cuts both ways. Assuming that an obviously overbroad agreement is unenforceable on its face and soliciting freely is a gamble: a court can reform the agreement and then enforce the reformed version against you. For employers, judicial reformation is not a license for lazy drafting; courts are less sympathetic to agreements that look deliberately overreaching.

What Your Former Employer Can Do

The usual first move after a suspected breach is a preliminary injunction ordering you to stop all solicitation while the case proceeds. Massachusetts courts weigh four factors: the employer’s likelihood of success on the merits, whether the employer will suffer irreparable harm without the injunction, the balance of hardships, and the public interest.2GovInfo. First-Citizens Bank – USCOURTS-mad-1-25-cv-11331 Irreparable harm is the key hurdle, and lost client relationships and leaked confidential information are the kinds of injury courts recognize as hard to fix with money alone. An employer who waits months after learning of the breach can undermine its own urgency argument.

Beyond injunctions, employers can pursue compensatory damages for lost profits and the cost of replacing recruited staff. Many agreements also shift attorney fees to the prevailing party, which raises the stakes considerably.

Liquidated damages clauses, which set a fixed payment for breach, are enforceable in Massachusetts if two conditions are met: actual damages were difficult to estimate when the agreement was signed, and the stipulated amount is reasonably proportional to the anticipated harm. A clause that functions as a penalty rather than a genuine estimate of loss will be struck down. The difficulty-of-estimation element is rarely an obstacle in non-solicitation cases because the value of lost client relationships is inherently hard to quantify. Proportionality is where most liquidated damages clauses are challenged.

Why the MNAA and the FTC Rule Don’t Change the Answer

The Massachusetts Noncompetition Agreement Act explicitly excludes non-solicitation covenants from its coverage, including both covenants not to solicit employees and covenants not to solicit customers, clients, or vendors.3General Court of Massachusetts. Massachusetts Code 149 Section 24L – Massachusetts Noncompetition Agreement Act The statute’s garden-leave requirement, ten-business-day notice window, and signature formalities do not apply to the agreement you signed. Common law governs instead.

The Federal Trade Commission’s April 2024 rule banning most non-competes did not cover non-solicitation agreements, which the FTC identified as a permissible alternative.4Federal Trade Commission. FTC Announces Rule Banning Noncompetes The rule never took effect; in August 2024, the U.S. District Court for the Northern District of Texas declared it unlawful and barred the FTC from enforcing it nationwide.5Congress.gov. Federal Courts Split on Legality of the FTC NonCompete Rule Non-solicitation agreements in Massachusetts remain governed entirely by state common law, and employers are using them more frequently as the law around non-competes stays uncertain.