Non-compete agreements can be among the most misunderstood aspects of an employment relationship. Employers often view them as essential protection for customer relationships and confidential information. Employees often see them as a career roadblock—especially when a new opportunity comes along.

In 2026, Massachusetts non-competes are governed primarily by the Massachusetts Noncompetition Agreement Act (often called the “MNAA”), which imposes strict technical and substantive requirements. If an agreement misses key steps, a court may refuse to enforce it.

This guide explains what the law requires, who is covered, and how enforceability is evaluated—from both the employer and employee perspectives.

1) The 2026 legal landscape in Massachusetts

Massachusetts law is the main rulebook for most workplace non-competes

The MNAA (Mass. Gen. Laws ch. 149, § 24L) sets out the standards for a “noncompetition agreement” in the employment context, including notice timing, required language, compensation/garden leave concepts, and limits on scope and duration.

What about a federal ban on non-competes?

You may have heard about the Federal Trade Commission’s 2024 rule that attempted to ban most non-competes nationwide. That rule is not in effect and is not enforceable (and the FTC took steps to dismiss its appeal in 2025). As a practical matter, Massachusetts employers and employees still must focus on Massachusetts law in 2026.

2) What counts as a “non-compete” under the MNAA (and what doesn’t)

The MNAA defines a “noncompetition agreement” as an agreement where an employee agrees not to engage in specified competitive activities after employment ends.

But importantly, the statute also clarifies that several common restrictions are not treated as MNAA “noncompetes”, including:

• Non-solicitation of employees
• Non-solicitation of customers/clients/vendors
• Nondisclosure/confidentiality agreements
• Invention assignment agreements
• Certain sale-of-business non-competes (when the restricted party is a significant owner receiving significant consideration)
• Certain separation-related non-competes where the employee has a 7-business-day right to rescind acceptance

Why this matters: Employers often can protect legitimate interests through these alternatives without triggering every MNAA requirement.

3) Who cannot be bound by a Massachusetts employment non-compete

Under the MNAA, a noncompetition agreement is not enforceable against certain categories of workers, including:

• Non-exempt employees (under the FLSA)
• Undergraduate or graduate student interns/short-term student workers
• Employees who were terminated without cause or laid off
• Employees age 18 or younger
• Physicians
• Nurses
• Psychologists
• Social Workers
• Lawyers
• Broadcasting industry employees

If you’re an employee, these exclusions are a major first checkpoint. If you’re an employer, drafting a non-compete for an excluded worker can create unnecessary risk and expense.

4) The MNAA enforceability checklist for 2026

Massachusetts courts can be strict about the MNAA’s technical requirements. A non-compete can fail before a judge ever reaches the “fairness” question if it doesn’t meet the statute’s minimum rules.

A) It must be properly presented and signed

If signed at the start of employment, the non-compete must:

• Be in writing and signed by both sides
• State that the employee has the right to consult counsel before signing
• Be provided by the earlier of the formal offer or 10 business days before the start date

If signed after employment begins (and not as part of a separation agreement), it must:

• Be supported by fair and reasonable consideration, independent of continued employment
• Be presented with at least 10 business days’ notice before it becomes effective
• Also, be in writing, signed, and include the right-to-consult-counsel statement

B) It must protect a legitimate business interest

The agreement must be no broader than necessary to protect one or more recognized interests:

• Trade secrets
• Confidential information (even if not a “trade secret”)
• Goodwill

C) It must stay within the duration limits

• The restricted period cannot exceed 12 months after employment ends
• It may extend up to 2 years only in narrow situations (e.g., breach of fiduciary duty or unlawful taking of employer property)

D) The geography and activities must be reasonable

The MNAA provides “presumptively reasonable” guideposts:

• Geography tied to where the employee worked or had material influence in the last 2 years
• Activities are limited to the types of services the employee provided in the last 2 years

E) It must include “garden leave” or another agreed consideration

The agreement must be supported by either:

• A garden leave clause, or
• Other mutually agreed upon consideration (specified in the agreement)

The statute defines a garden leave clause as payment during the restricted period of at least 50% of the employee’s highest annualized base salary paid within the prior 2 years, paid pro-rata throughout the restricted period (with some exceptions related to employee breach).

5) Real-world pitfalls that can make a non-compete unenforceable

Even well-intentioned employers can lose enforceability through avoidable mistakes. Common issues include:

Missing the timing rules
If a new hire did not receive the agreement by the earlier of either the offer or 10 business days before start, that’s a serious problem.

Overreaching on scope (geograp hy or job duties)
Broad “industry-wide” restrictions often create risk. Courts look for tailoring tied to the employee’s actual role and the employer’s legitimate interests.

Using the wrong entity as “employer” (parent/subsidiary issues)
A recent Massachusetts Superior Court decision highlighted that parent companies may not be able to enforce non-competes against employees of subsidiaries when the parent does not qualify as the “employer” under the statute—an issue that can surprise multi-entity organizations.

6) Practical guidance for employees in 2026

If you’re asked to sign a Massachusetts non-compete (or you already have one), focus on these steps:

• Check whether you’re in a protected category (non-exempt, laid off/terminated without cause, student intern/short-term, under 18).
• Confirm the timing and required language (10-business-day rules; right to consult counsel; signatures).
• Look closely at the restrictions: geography, duration, and what you’re actually barred from doing.
• Identify what you receive in return (garden leave or other consideration stated in the agreement).
• Get advice before you sign—or before you resign. A review before career decisions are made is often far more effective than damage control after the fact.

7) Employer best practices for enforceability and risk reduction

Employers that want enforceable protections in Massachusetts should think in terms of precision and process:

• Use non-competes only when truly necessary for trade secrets, confidential information, or goodwill.
• Build a compliant onboarding workflow to meet timing and notice requirements.
• Keep restrictions narrowly tied to the employee’s actual responsibilities and customer footprint. 
• Consider alternatives like confidentiality and non-solicitation clauses when they can adequately protect the business without MNAA complexity.
• For multi-entity companies, confirm the agreement is executed by the correct employing entity, especially where employees work for subsidiaries.

8) When to involve an employment law attorney

Because the MNAA is technical and courts can apply it strictly, legal counsel can be valuable at multiple points:

• Employers: drafting, updating templates, executive exits, enforcing (or defending) restrictive covenants
• Employees: negotiating terms, evaluating risk before a job change, responding to cease-and-desist letters, or preparing for injunction threats

Talk to Kerstein & Konowitz Law Group about Massachusetts non-competes

Non-competes can determine whether an employee can take a new job—or whether an employer can truly protect its relationships and confidential information. If you need help reviewing, negotiating, drafting, or enforcing a non-compete under Massachusetts law, Kerstein & Konowitz Law Group can guide you through a strategy that protects your interests and complies with the MNAA.

This article is for general informational purposes and is not legal advice.