Since July 1, 2023, Minnesota has banned new non-compete agreements. The are only two exceptions. Non-competes are legal for a sale of a business or a dissolution of a business.
Employers cannot get around Minnesota’s non-compete ban by placing non-competes in severance agreements or other employment agreements if you never signed a non-compete agreement before July 1, 2023.
While employers can have non-solicitation agreements, they should be narrowly tailored and simply serve as a workaround non-compete.
Continue to be alert to employment agreements your employer asks you sign, as well as post-employment agreements.
