Updated April 21, 2022
A Mississippi non-compete agreement protects the interests of a business by prohibiting a terminated employee from working in a similar line of work. The scope, duration, and geographical area must be found to be reasonable.
Therefore, if the non-compete is for a wide-ranging area, the duration must be shorter, and vice-versa.
Legally Enforceable?
Yes, a non-compete is legal in Mississippi if it doesn’t grant “unfair competition by an ex-employee as well as by unreasonable oppression by an employer.”
Source: Texas Road Boring Co. of Louisiana-Miss. v. Parker (1967))
Attorneys (prohibited)
No attorney in Mississippi may enter into a non-compete that restricts their rights to practice law after the termination of an agreement.
Source: Miss. R. Prof’l. Cond. 5.6
Continued Employment
Continued employment has been ruled as sufficient consideration by the Supreme Court of Mississippi.
Source: Frierson v. Sheppard Bldg. Sup. Co. (1963), Raines v. Bottrell Insurance Agency, Inc. (2008)
Maximum Term
2 sample non-compete cases are listed below:
- 6 years for a 50-mile radius (Herring Gas Co., Inc. v. Magee (1993)).
- 2 years that was Statewide (Redd Pest Control Co. v. Heatherly (1963).
Blue Penciling
A court in Mississippi may apply a “blue pencil” approach to a non-compete covenant that is unenforceable and enforce its reasonable terms.