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Illinois Non-Solicitation Agreement

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Illinois Non-Solicitation Agreement

Updated October 16, 2023

An Illinois non-solicitation agreement is a contract between an employer and an employee that governs the employee’s actions regarding certain matters after leaving the company. The agreements may prohibit the employee from reaching out to customers, clients, employees, or contractors that they met while on the job. This is intended to protect the company’s business while lowering the risk of competitors poaching valuable assets.

Is It Legally Enforceable in Illinois?

Yes. A non-solicitation agreement is enforceable if the terms are reasonable and necessary to protect a legitimate business interest of the employer.

(Lawrence & Allen, Inc. v. Cambridge Human Resource Group, Inc., 292 Ill. App. 3d 131, 138 (Ill. App. Ct. 1997))

Table of Contents

What Types of Solicitation Can Be Prohibited?

As long as the restrictions are reasonable and necessary to protect the employer’s business, a non-solicitation agreement can be customized to prohibit an individual from reaching out to the employer’s:

  • Former or current employees
  • Former or current clients
  • Independent contractors
  • Other business relationships (e.g. affiliates, suppliers, etc.)

What Should Be Included in the Agreement?

What should you include in a non-solicitation agreement.

To be enforceable in a court of law in Illinois, a non-solicitation covenant must include:

1. Time Limit

Typically enforced at the start of the individual’s termination of employment, the duration of a non-solicitation agreement ranges from a few months to several years based on the necessity of the employer to protect a legitimate business interest.

2. Geographical Limit

This section specifies the location or geographical area where the individual is prohibited from engaging in restricted activities. It must be considered reasonable and necessary to protect a legitimate business interest of the employer.

3. Restricted Activities

The agreement must detail the scope of the restricted activities, including who the individual is prohibited from soliciting, what business practices they are prohibited from engaging in, and more.

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