§ 1. Governing Statutory & Common Law Authority
The enforceability of non-competition agreements in New Hampshire is governed by RSA § 275:70-a (effective 2024). Non-competes void for employees earning less than $30,160/year (2026, 200% of federal minimum wage). Must provide copy of agreement before acceptance of offer.
Recent legislative developments: 2024 statute established salary threshold and notice requirements.
§ 2. Compensation Threshold Requirements
New Hampshire imposes a statutory compensation threshold for non-compete enforcement. Under current law, non-compete covenants are presumptively void for employees earning below the statutory minimum. 200% of federal minimum wage (annualized). Low threshold compared to other states. The threshold is $30,160/year — but whether your total compensation qualifies depends on how your state counts bonuses, commissions, and equity.
§ 3. Temporal Limitations on Post-Employment Restrictions
New Hampshire does not codify a maximum duration. Must be reasonable. In practice, 1-2 years is generally considered the outer limit of reasonableness, though outcomes vary significantly based on the employee's role and access to trade secrets.
§ 4. Judicial Modification (Reformation Doctrine)
New Hampshire follows the reformation doctrine, granting courts broad authority to rewrite overbroad non-compete terms. This is the most employer-favorable approach — even a poorly drafted agreement may be reshaped into an enforceable restriction.
§ 5. Consideration & Contract Formation
Must provide copy of non-compete agreement before the employee accepts the position. Whether this is legally sufficient — especially for agreements presented mid-employment rather than at hiring — is frequently contested.
§ 6. Effect of Involuntary Termination
Courts consider circumstances. Courts may apply heightened scrutiny when the employer initiated the termination, particularly for termination without cause or mass layoffs.
Practitioner Notes
Relatively low threshold; most full-time employees are above it.