Think Your Florida Non-Compete Is Unfair? Here’s What the Law Actually Says

You’ve just been handed a non-compete agreement. Or maybe you signed one years ago and are now wondering if it’s actually enforceable as you consider your next career move. Either way, you’re asking yourself: “Are non-competes enforceable in Florida?”

It’s a critical question that impacts your livelihood and future opportunities. At BT Law Group, we regularly help Florida employees and employers with non-compete agreements. Let’s break down what Florida law actually says about these contracts.

How Florida Regulates Non-Compete Agreements

Non-compete agreements in Florida are primarily governed by Florida Statute §542.335, which provides the framework for when these restrictive covenants can be enforced. Unlike some states that severely limit non-competes or ban them outright, Florida generally takes a more employer-friendly approach.

However, that doesn’t mean all non-compete agreements are automatically enforceable. The law requires these agreements to meet specific criteria to be valid and enforceable in court.

Requirements for an Enforceable Non-Compete in Florida

For a non-compete agreement to be enforceable in Florida, it must:

• Be in writing and signed by the employee
• Protect a legitimate business interest (not just prevent ordinary competition)
• Be reasonable in time, geographic area, and scope
• Be supported by valid consideration (something of value given to the employee)

Let’s examine each of these requirements more closely.

Legitimate Business Interests

The cornerstone of an enforceable non-compete in Florida is the protection of legitimate business interests. Florida Statute §542.335 specifically identifies several interests that qualify:

• Trade secrets
• Valuable confidential business information
• Substantial relationships with specific customers, patients, or clients
• Extraordinary or specialized training
• Goodwill associated with a trademark, geographic location, or marketing area

A non-compete that doesn’t protect any of these interests is unlikely to be enforced by Florida courts. Simply preventing an employee from using their general skills and knowledge at another company isn’t sufficient justification.

Reasonable Time Restrictions

Florida law presumes that certain time restrictions are reasonable:

• 6 months or less: Presumed reasonable
• More than 2 years: Presumed unreasonable
• Between 6 months and 2 years: Evaluated on a case-by-case basis

However, these are just presumptions that can be overcome with evidence. Courts may enforce longer restrictions in certain circumstances, particularly for the sale of a business or when protecting extraordinary business interests.

Geographic Restrictions

The geographic scope of a non-compete must be reasonable and related to where the employer actually conducts business. For example:

• A statewide restriction might be reasonable for a company that operates throughout Florida
• A restriction limited to certain counties might be appropriate for a regional business
• An international or nationwide restriction might be unreasonable unless the company truly operates on that scale and the employee’s position or access to the company’s trade secrets warrant the restriction

Courts evaluate whether the geographic scope is tailored to protect legitimate business interests without unduly burdening the employee’s ability to earn a living.

Scope of Prohibited Activities

The activities prohibited by the non-compete must be reasonably related to the work the employee performed. A restriction that prevents an employee from working in any capacity for a competitor, even in an unrelated role, may be deemed too broad.

The Federal Trade Commission’s Rule on Non-Competes

In April 2024, the Federal Trade Commission (FTC) issued a rule that would have banned most non-compete agreements nationwide, declaring them an “unfair method of competition.” This rule was set to take effect on September 4, 2024.

However, in September 2024, the FTC’s rule was challenged in court, and a federal judge struck down the rule, meaning it is currently not enforceable. This legal battle highlights the ongoing tension between state and federal approaches to non-compete agreements.

For now, Florida’s statute remains the primary authority on non-compete enforceability in the state.

How Florida Courts Handle Non-Compete Disputes

When a non-compete dispute reaches a Florida court, judges have significant discretion in how they enforce these agreements. The court may:

• Enforce the agreement as written if it meets all legal requirements
• Blue-pencil the agreement (modify it to make unreasonable terms reasonable)
• Refuse to enforce the agreement entirely if it’s fundamentally flawed

Florida’s statute specifically allows courts to “blue-pencil” or modify overbroad non-compete agreements rather than invalidating them entirely. This means that even if certain aspects of your non-compete are unreasonable, a court may simply narrow them rather than throw out the entire agreement.

Challenging a Florida Non-Compete Agreement

If you believe your non-compete is unenforceable, several potential challenges exist:

• No legitimate business interest is being protected
• Overly broad restrictions in time, geography, or scope
• Lack of consideration when the agreement was signed
• Changed circumstances that make enforcement unreasonable
• The employer breached the employment contract first
• The employer engaged in unclean hands or improper conduct

What Happens if You Violate a Non-Compete in Florida?

The consequences of violating a non-compete in Florida can be serious:

• Your former employer may seek an injunction to stop you from working for a competitor
• You could be ordered to pay monetary damages for harm caused to the former employer
• You might be responsible for the employer’s attorney’s fees and court costs
• Your new employer could be sued for tortious interference with the non-compete

Under Florida law, courts may presume that irreparable injury has occurred when a valid non-compete is violated, making it easier for employers to obtain injunctions against former employees.

Protecting Yourself When Facing a Non-Compete Issue

Whether you’re considering signing a non-compete or evaluating your options under an existing agreement, here are some steps to protect yourself:

• Read the agreement carefully before signing
• Negotiate the terms if possible (geographic scope, duration, etc.)
• Consult with an employment attorney to understand the enforceability
• Document your work responsibilities to establish the proper scope
• Be transparent with potential new employers about existing non-competes

When to Talk to an Employment Law Attorney

Non-compete agreements can significantly impact your career and livelihood. It’s advisable to consult with an experienced Florida employment attorney if:

• You’re being asked to sign a non-compete
• You’re considering leaving a job where you’ve signed a non-compete
• You’ve received a cease and desist letter regarding a potential violation
• You’re being sued for violating a non-compete
• You need to negotiate the terms of a non-compete

At BT Law Group, our employment attorneys have extensive experience handling non-compete issues for both employees and employers throughout Florida. We can evaluate your specific situation, help you understand your rights and obligations, and develop strategies to protect your interests.

Don’t Try to Handle Non-Compete Issues Alone

While Florida courts will generally enforce reasonable non-competes that protect legitimate business interests, many agreements contain vulnerabilities that can be challenged.

If you’re facing a non-compete issue in Florida, don’t try to handle it alone. Contact BT Law Group today for a consultation to discuss your specific situation and explore your options. We’re committed to helping you understand your rights and find the best path forward in your career.