Short answerIn North Carolina, courts have enforced non-compete clauses in most of the rulings we track (5 of 8) — but enforceability still turns on a reasonable scope, duration, and geography.
Based on 8 verified holding(s) from court opinions and regulatory actions, here's the breakdown for non-compete clauses in North Carolina:
- Enforced: 5 ruling(s)
- Struck / unenforceable: 1 ruling(s)
- Unsettled: 2 ruling(s)
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Full rulings
Struck / unenforceableconfidence: medium
“Accordingly, we hold the covenant not to compete was unenforceable as a matter of law, and the trial court erred by entering summary judgment for Carolina Pride and failing to enter summary judgment for defendant with respect to Carolina Pride's breach of contract claim.”
Covenant language at issue“SIXTH: [Defendant] hereby agrees and guarantees to [Carolina Pride], that during the term of this contract and for three years after termination of this contract, [defendant] will not on his own account or as agent, employee or servant of any other person, firm or corporation engage in or become fin…”
View the source opinion ↗ 618 S.E.2d 875
Unsettledconfidence: medium
“Defendant's motion to dismiss Plaintiff's claim for breach of the non-solicitation covenant should be DENIED.”
Covenant language at issue“soliciting or inducing "any of the patients" of Plaintiff to cease doing business with Plaintiff”
View the source opinion ↗ 2015 NCBC 45
Enforcedconfidence: medium
“After reviewing the pleading and the Franchise Agreement language, the Court finds that this factor weighs in favor of granting the motion for preliminary injunction, as there a strong likelihood that will Maaco will prevail on its claim that Defendants have breached at least the non-compete clause in the Franchise Agreement, and perhaps other provisions of the Franchise Agreement.”
Covenant language at issue“Defendants would not “[o]wn, maintain, engage in, be employed by, finance, assist or have any interest in any other business providing, in whole or in part, motor vehicle painting or body repair services or products.””
CourtListener #10256320
Enforcedconfidence: medium
“This injunctive relief is appropriate to address Bruce’s harms and will be granted with minor modifications.”
Covenant language at issue“will not itself establish, nor will it license another to establish, within [Bruce’s service area], a location from which to operate a Terminix System,”
CourtListener #10254410
Enforcedconfidence: medium
“Lastly, the public interest is furthered by the granting of a temporary restraining order, as it is undoubtedly in the public interest to protect legitimate business interests by enforcing valid restrictive covenants and avoiding customer confusion.”
Covenant language at issue“[f]or a period of two (2) years following the termination, expiration, transfer or other disposition of the Franchised Business… directly or indirectly, for a fee or charge, prepare or electronically file income tax returns… within the Territory or within twenty-five (25) miles of the boundaries of …”
CourtListener #10257683
Enforcedconfidence: medium
“As a result, the motion to dismiss the breach of contract claim will be denied.”
Covenant language at issue“Only Mr. Carey’s ICA contains a term that “prohibits Jason Carey from disparaging NAA or any person associated with NAA.””
980 F.2d 943
Enforcedconfidence: medium
“plaintiff’s motion is granted in part and denied in part as set forth herein.”
Covenant language at issue“During the term of this Agreement, and Executive’s employment by the Company thereunder, and the one (1) year period following the effective termination date (regardless of the reason for the termination and regardless of whether mitiated by Executive or Company), Executive will not engage in the fo…”
555 U.S. 7
Unsettledconfidence: medium
“The Agreement may be enforceable under one or both state’s laws; therefore, Plaintiff’s Complaint sufficiently states a valid contract for purposes of its tortious interference claim.”
Covenant language at issue“2. Confidentiality/Non- Solicitation: During your employment and for a period of one (1) year from the date of termination of your employment for any reason you will not: (a) call upon any client of EKG for the purpose of selling to or soliciting such client whether on your own behalf or on the beh…”
155 F. Supp. 3d 535