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Wisconsin Non-Solicitation Agreement

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Wisconsin Non-Solicitation Agreement

Updated October 16, 2023

A Wisconsin non-solicitation agreement is a contract between an employer and an employee that restricts the employee from soliciting the employer’s business after ending the term of employment. Generally, the terms of the agreement must be narrowly defined with regard to the timeframes and geographic areas in which the employee is restricted.

Is It Legally Enforceable in Wisconsin?

Yes. Non-solicitation agreements are enforceable in Wisconsin as long as they are reasonable. Any restrictive post-employment contract, per state law, must be necessary for the protection of the employer’s business. (Wis. Stat. Ann. §103.465)

This means that a non-solicitation agreement must not impose unfair time restrictions, geographic restrictions, or negative impact on the employee or on public policy. (Star Direct, Inc. v. Eugene Dal Pra (2009))

Table of Contents

What Can a Non-Solicitation Agreement Prohibit?

As long as the terms fall within reason, a non-solicit covenant can restrict a former employee from soliciting the employer’s:

  • Clients and customers
  • Employees
  • Independent contractors
  • Suppliers
  • Other business relationships

What Should a Non-Solicitation Agreement Include?

What should you include in a non-solicitation agreement.

Under Wisconsin statute and case law, a non-solicitation agreement should include reasonable restrictions on the following:

1. Time Limit

The duration of the agreement, which typically begins at the termination of employment, should be considered necessary for the protection of the employer’s business interests.

2. Geographical Limit

The agreement should define the geographical area wherein the individual is bound to the restrictive terms. Typically, this is limited to the city, county, or region where the employer is based.

3. Scope of Restricted Activities

This section should define what “soliciting” entails and to whom the individual is prohibited from reaching out. The restrictions should balance the interests of the business and the rights of the employee.

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