Legally Enforceable?
Yes, a non-compete is legal in Connecticut except for:
- Attorneys. An attorney is not eligible to enter into a non-compete.[1]
- Broadcast employees. No individual employed by a broadcast company (cable and radio stations) may enter into a non-compete. Any person that has had their rights violated under this section may seek damages and attorneys’ fees.[2]
- Homemaker, companion, or home health services. Such professions are prohibited from entering a non-compete.[3]
- Physicians. A physician may not be bound by any agreement that restricts their right to practice medicine.[4]
- Security guards. A security guard with the classification of #339032 in the Bureau of Labor Statistics is not allowed to enter into a non-compete unless they have been made aware of trade secrets.[5]
Continued employment is not sufficient consideration for a non-compete. The employee must have additional consideration which may include:[6][7]
- Increased compensation;
- Promotion of improvement of title; or
- Employment in a different capacity.
Maximum Term
A term of five (5) years has been honored in the 3 court cases.[8][9][10]
It should be noted that Connecticut views non-compete’s time and geographic restrictions together.[7]
Therefore, if an employer is to enter into a non-compete for five (5) years, the geographical area should not extend beyond the State.
Blue Penciling Allowed
A non-compete is allowed to be modified by a Connecticut court if the agreement includes a severability clause or gives a court the right to modify.[11]Furthermore, a non-compete was considered unenforceable for an overbroad geographic area when no severability clause existed allowing a court to blue-pencil the agreement.[12]
Sources
- Rule 5.6
- Sec. 31-50b
- Sec. 20-681
- Sec. 20-14p
- Sec. 31-50a
- Torrington Creamery, Inc. v. Davenport (1940)
- Van Dyck Printing Co. v. DiNicola (1993)
- May v. Young, 2 A.2d 385 (1938)
- Scott v. General Iron & Welding Co (1976)
- Ives Bros., Inc. v. Keeney (2009)
- Gartner Group Inc. v. Mewes (1992)
- Braman Chem. Enters., Inc. v. Barnes, 2006