Non-compete agreements in New Jersey

Reference summary on the enforceability framework for post-employment non-compete agreements under New Jersey law.

Are non-compete agreements enforceable in New Jersey?

New Jersey has historically been a state where post-employment non-compete restrictions can be enforced, but only when the restriction is reasonable in scope, geography, and duration, and when it protects a legitimate business interest of the former employer.

Three-part reasonableness test

Legitimate interest: trade secrets, customer relationships, or specialized training
No undue hardship: the restriction can't bar the employee from earning a livelihood
Public interest: the restriction can't injure the public

Recent New Jersey legislative activity has narrowed the enforceability window further. Aggregated decision data on NJ non-compete rulings is indexed at ModernIndex. For specific situations consult licensed counsel.