Updated October 16, 2023
A Maine non-solicitation agreement is a contract between an employer and an employee that prevents the employee from contacting clients, customers, other employees, or contractors after leaving the company. Because courts are hesitant to enforce agreements that limit a former employee’s actions, non-solicitation may not be justified solely on the basis of preventing competition. Instead, they should achieve some other interest, such as helping protect company investments.
Is It Legally Enforceable in Maine?
Yes. Non-solicitation agreements are enforceable only to the extent that they are reasonable and no broader than necessary to protect the business interests of the employer. (Chapman Drake v. Harrington, 545 A.2d 645, 647 (Me. 1988))
Non-solicitation agreements entered into after Sep. 18, 2019 may not prohibit one employer from soliciting another employer’s employees or former employees. (26 M.R.S.A. § 599-A(7), 26 M.R.S.A. § 599-B)
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What Types of Solicitation Can Be Prohibited?
In Maine, as long as it is reasonable, a non-solicitation covenant can prohibit an individual from soliciting the employer’s:
- Former or current clients/customers
- Former or current employees
- Independent contractors
- Other business relationships (e.g. associates, suppliers, etc.)
What Should Be Included in the Agreement?
A non-solicitation covenant typically outlines the following sections:
1. Duration
A restrictive covenant in Maine must have a reasonable duration that typically begins at the individual’s termination of employment. The length of time that the individual is prohibited from engaging in acts of solicitation must be deemed reasonable to protect the employer’s business interests.
2. Geographical Limit
This section specifies the location or area where the individual is not allowed to engage. Typically, the geographical limit is based on where the employer is located.
3. Scope of Prohibited Activities
This section outlines in detail exactly what the individual is prohibited from doing as part of the agreement. This can range from contacting specific customers or employees and defining what “soliciting” exactly entails.
Related Forms
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Maine Non-Disclosure Agreement
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