Maryland Noncompete Agreement: What's Included and Enforceability

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Is a Non-Compete Agreement Enforceable in Maryland?

Yes. For the most part, non-compete agreements will be enforced in Maryland. However, the Maryland code lays out restrictions for certain types of employees and wage requirements that must be abided by or the non-compete will be unenforceable.

The following employees are prohibited from entering a non-compete agreement in Maryland:

How Long Does a Maryland Non-Compete Agreement Last?

Courts in Maryland have determined that three years or less is a reasonable amount of time for a non-compete agreement to last. The time begins when the employment relationship between the two parties ends.

How Do You Get Around a Non-Compete Agreement in Maryland?

If an employee wants to terminate a non-compete agreement, they must prove that the agreement is unreasonable. When a court determines whether a non-compete is unreasonable, they will consider the following factors:

  1. Whether the contract serves to protect an employer’s business interests
  2. Whether the contract imposes undue hardship on employee
  3. Whether the contract has a negative impact on public interest

If an employee can prove that non-compete is unreasonable regarding one of these factors, the court may strike down the contract. However, Maryland allows the practice of blue penciling which permits a court to modify a non-compete as long as it is not deliberately unreasonable.

Instead of striking down an unreasonable contract, a court may edit the terms to make it reasonable and the employee will still be bond by the contract.

What Voids a Non-Compete Agreement in Maryland?

A Maryland non-compete agreement must have consideration to be valid. The courts have ruled that continued employment is sufficient consideration for an employee to enter a non-compete agreement. Additional forms of consideration are promotions or monetary payments.

See Noncompete Agreement by State

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Meet some of our Maryland Noncompete Agreement Lawyers

Michael W.

Free Consultation Member Since:
July 13, 2020

Michael W.

Free Consultation Columbia, MD 13 Yrs Experience Licensed in MD Georgetown University Law Center

Graduate of Georgetown Law (J.D. and LL.M in Taxation) Injury Claims Adjuster before law school for top insurer Eight plus years of legal experience Past roles: Associate at premier boutique law firm in the DC metro area Policy Associate at a large academic and research institution Solo Practice Areas of Expertise: Contracts Business Formation Trusts and Estates Demand Letters Entertainment Transactions

Julian H.

Business Attorney Free Consultation Member Since:
July 14, 2020

Julian H.

Business Attorney Free Consultation San Antonio, Texas 22 Yrs Experience Licensed in MD Howard University School of Law

I am a business attorney with years of experience advising individual entrepreneurs and small businesses on issues ranging from entity selection/formation to employment law compliance, to intellectual property protection and exploitation. I often act as General Counsel for my clients fulfilling the legal function as part of a team of managers. I look forward to learning more about your business and how I may be of assistance.

Roman V.

Trademark Attorney Free Consultation Member Since:
July 10, 2021

Roman V.

Trademark Attorney Free Consultation Milwaukee, WI 10 Yrs Experience Licensed in MD Marquette University Law School

I'm an experienced trademark attorney and enjoy helping clients protect and grow their brand names through trademark registration and enforcement. I've worked with a wide variety of clients in different industries, including e-commerce, software as a service (SaaS), and consumer goods, to register trademarks for product names, logos, and slogans, both in the US and abroad.

Max M.

Business Attorney Free Consultation Member Since:
July 12, 2021

Max M.

Business Attorney Free Consultation Baltimore, Maryland 17 Yrs Experience Licensed in MD Georgetown University Law Center

Results oriented business attorney focusing on the health care sector. Formerly worked in Biglaw doing large multi-million dollar mergers and acquisitions, financing, and outside corporate counsel. I brought my skillset to the small firm market, provide the highest level of professionalism and sophistication to smaller and startup companies.

Sean D.

Business Attorney Free Consultation Member Since:
January 26, 2021

Sean D.

Business Attorney Free Consultation Elkridge, Maryland 26 Yrs Experience Licensed in MD University of Maryland Francis King Carey School of Law

Accomplished and results-driven business attorney with extensive experience in commercial real estate / project finance, commercial transactions, and entity formations, that possesses a winning blend of subject matter expertise, skill in client relationship management, and practical experience. Leverages a unique mix of legal, strategic, and analytical expertise that consistently meets and surpasses client expectations. Specialties: Commercial Real Estate Law, Contract Negotiation, Entity Formation, Joint Ventures, Procurement, Lease/Buy/Sell Transactions, Business Consultations, Team Leadership, and Economic Development

Harrison K.

Attorney and Executive Free Consultation Member Since:
November 17, 2021

Harrison K.

Attorney and Executive Free Consultation Los Angeles 29 Yrs Experience Licensed in CA, MD California Western School of Law

Harrison Kordestani is an executive with over twenty-five years experience in entertainment and media, energy, technologies, and start-ups. Mr. Kordestani has also developed a specialized legal and strategic consulting practice representing select entertainment, oil and gas, mortgage lending, and technology start-up clientele. He is also deeply passionate about new technologies and has also actively worked in building companies in the video-on-demand, wearable tech, information of things, demand prediction and app-marketing spaces. As an attorney, Mr. Kordestani's focus has been on transactional drafting and negotiation and providing ongoing legal counsel, corporate compliance, and contract interpretation to numerous private individuals as well as companies in varied fields.

Cecilia O.

Contracts Attorney Free Consultation Member Since:
January 31, 2022

Cecilia O.

Contracts Attorney Free Consultation San Antonio 17 Yrs Experience Licensed in CT, MD Ghana School of Law

With 15 years of extensive transactional/contracts experience reviewing and negotiating commercial contracts including a wide variety of purchase orders and contracts and non-disclosure agreements (NDA), I believe I can immediately contribute to the continued success of your team. I have been commended for a range of valuable skills—excellent contract management and contract administration, legal research, risk analysis, drafting and negotiations, and strategic thinking. I have worked as a legal consultant for 10+ years and I have reviewed over 7,500 contracts through this position. Contracts I have reviewed include but not limited to purchase orders, commercial and construction contracts, equipment rental agreements, non-disclosure, confidentiality, vendor agreements, service agreements, site access agreements, international agreements, request for proposals (RFP), bids and government contracts. These experiences have enabled me to master the ability to work independently and expeditiously to identify and assess issues and provide legally sound recommendations, consistent with good business practices. I have led teams (sales, insurance and management) to successfully negotiate contract terms with customers. Effective Communicator and Negotiator. I am a people person, and for the past 13 years, I have acquired excellent oral and written communication skills that enable me to interact and negotiate effectively with stakeholders at all levels. I am a self-starter with a strong work ethic. I have a high degree of resourcefulness, diligence, and dependability. Most important, I adapt to changing priorities quickly, thriving in an environment with high volume and short turnaround deadlines. My experience over the years allows me to transfer my skills to all types of contracts to meet the client’s needs. I am hopeful to provide similar legal expertise, effective contract administration and leadership to your organization. It would be a pleasure to meet within the next few weeks and discuss how my qualifications, experience, and capabilities will best fit the needs of your outfit.

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Asked on Apr 15, 2021

Can I work for a competitor with my current noncompete?

I have ended my non competent consulting agreement with my current employee and I have an offer to work as an employer “not as consultant” with a competitor company to my privious employees so can I work as an employee without any problem? The consultant agreement says the following: Under any circumstances the consultant shall not engage directly or indirectly either as a principal agent , consultant,stock holder , partner or in any other capacity whatsoever have any other relationship with any business which compete with the company in USA.

Jane C.

Answered Apr 16, 2021

I suggest that you have an attorney review the entire agreement. It is hard to comment reading a paragraph taken out of context. From the limited facts you present, it seems that you cannot accept this job offer without violating the terms of the non-compete. Disclaimer - This information is provided for general informational purposes only. No information contained in this post should be construed as legal advice and does not establish an attorney-client relationship.

Asked on Jul 30, 2023

Noncompete agreement and severance packages?

I recently left my job of 5 years, where I had signed a non-compete agreement. I am now negotiating a severance package with my former employer and am unsure of what my rights and obligations are regarding the non-compete agreement. I am seeking clarification on how the non-compete agreement should be handled in relation to the terms of my severance package.

Diane D.

Answered Sep 1, 2023

To be able to answer this question, I would need to see the agreements. No one can answer your question without seeing the agreements.

Asked on Jul 13, 2023

Can a noncompete agreement be waived?

I am a small business owner in the retail industry and I am looking to hire a new employee. The employee has a noncompete agreement with their previous employer that I am concerned about. I want to know if it's possible for the agreement to be waived so that I can be sure I'm making the right decision in hiring this employee.

Thomas L.

Answered Jul 21, 2023

Yes, the parties to contracts can always agree to amendments and waivers. However, the former employer may have no interest in waiving the contract in this particular situation.