Is It Legally Enforceable in New Jersey?
Yes — but only if the restrictions it sets reasonably protect the business’s legitimate interests, are not damaging to the public interest, and don’t force any improper difficulties on an employee.
(Solari [Industries, Inc. v. Malady, 55 N.J. 571, 264 A.2d 53 (N.J. 1970)])
Types of Solicitation to Prohibit
A non-solicitation agreement in New Jersey can restrict an individual from contacting, soliciting, recruiting, or hiring a business’s:
- Clients and customers
- Former or current employees
- Independent contractors
- Business associates, suppliers, etc.
What to Include
In order to be enforceable in a court of law, it is recommended that a non-solicitation agreement includes the following sections:
1. Time Restraint
This determines how long the individual is bound to the terms of the restrictive covenant. While New Jersey does not have any statutes or case law dictating the maximum length of time allowed, the set duration should be considered reasonable to protect the business’s interests while balancing the interests of the employee and the public.
2. Geographical Restraint
A geographical limit is set to a specific area or location where the individual is bound by the terms of the agreement. Typically, the limit is set to the city or county where the employer or business is located.
3. Specific Action
This section defines the exact activities that the individual is prohibited from engaging in as part of the agreement. This can range from hiring or recruiting the employer’s employees to soliciting any former or current clients.
Related Forms
New Jersey Non-Compete Agreement
Download: PDF, MS Word, OpenDocument
New Jersey Non-Disclosure Agreement
Download: PDF, MS Word, OpenDocument