Non-Compete Addendum

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A practical non-compete addendum that sets a reasonable restricted activity period, geographic limit, and scope for former employees or contractors.

This addendum attaches to an employment or services agreement to protect business relationships, confidential information, and client goodwill by limiting competitive activity after the engagement ends.

When To Use

Use when an employee, consultant, or contractor will have access to confidential information or client contacts and the business needs a written restriction on post-termination competition.

Template

NON-COMPETE ADDENDUM

This Non-Compete Addendum ("Addendum") is made on [Date] and is attached to the Agreement dated [Original Agreement Date] between [Company Name] and [Party Name].

1. RESTRICTED ACTIVITIES
The Party agrees not to engage in or provide services for any business that competes with the Company in the field of [Describe industry or services] during the restricted period.

2. GEOGRAPHIC SCOPE
This restriction applies within the following geographic area:
[Specify city, county, state, region, or radius].

3. RESTRICTED PERIOD
The non-compete period begins on the termination date of the Agreement and continues for [Number] months.

4. CLIENT AND CUSTOMER NON-SOLICITATION
The Party also agrees not to solicit or accept work from the Company's clients or customers identified during the engagement, including: [List client types or categories].

5. CONFIDENTIAL INFORMATION
The Party must continue to protect confidential information in accordance with the original Agreement and may not use it to compete with the Company.

6. ENFORCEABILITY
If any provision of this Addendum is found unenforceable, the remaining provisions remain in effect to the greatest extent permitted by law.

7. GOVERNING LAW
This Addendum is governed by the laws of [State/Country].

Signatures:

Company Representative: __________________________
Printed Name: _________________________________
Date: ________________________________________

Party Name: _________________________________
Printed Name: _________________________________
Date: ________________________________________

Example

NON-COMPETE ADDENDUM

Date: May 20, 2026

Attached to: Consulting Agreement dated March 1, 2026

Restricted Activity: Consulting with direct competitors of the Company in digital marketing services.

Geographic Scope: Within 50 miles of the Company's headquarters.

Restricted Period: 12 months after termination.

Client Non-Solicitation: No approach or service for clients introduced during the engagement.

Frequently Asked Questions

Are non-competes enforceable?

Enforceability varies by jurisdiction — seek legal advice and keep restrictions reasonable.

How long can a non-compete last?

A reasonable period is typically 6 to 12 months, depending on the role and local law.

Non-Compete Addendum

When To Use

Template

Example

Frequently Asked Questions

Are non-competes enforceable?

How long can a non-compete last?

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