Allowed above a pay floor
Non-compete law in Maine
Maine declares noncompete agreements contrary to public policy and enforceable only to the extent reasonable and no broader than necessary to protect the employer's trade secrets, other confidential information or goodwill. An employer may not require or permit a noncompete for an employee earning at or below 400% of the federal poverty level (about $63,840 a year on the 2026 federal figure), for a veterinarian at a facility the veterinarian does not own, or, for agreements entered into or renewed on or after July 29, 2026, for a health care practitioner employed by an entity in which the practitioner has no ownership interest. The employer must disclose the requirement before the job offer and give the agreement at least 3 business days before signing, and its terms do not take effect until the later of one year of employment or 6 months after signing (health care practitioners excepted).
Last verified · confidence high. Clauseworthy is not a law firm and does not give legal advice.
From January 1, 2027, an enacted change applies: allowed above a pay floor.
The Revisor's page for 599-A shows two 'FUTURE CONFLICT' versions of subsection 5. PL 2025, c. 718 (health care practitioners excepted from the one-year/6-month delay) is already in effect; PL 2025, c. 738, Pt. C, sec. 39 (text effective 1/01/27) would instead except only allopathic and osteopathic physicians licensed under Title 32, ch. 153 (new Maine Board of Medicine Medical Practice Act). The conflict is flagged by the Revisor and not resolved in the published text. Source
- Employee non-competes
- Only within the statute's conditions
- Pay floor
- $63,840 a year in 2026, adjusted annually
- How pay is measured
- Derived, not stated in the statute: 26 MRSA 599-A(3)(A) bars a noncompete for an employee earning wages 'at or below 400% of the federal poverty level', defined in subsection 1(A) as the OMB nonfarm official poverty line for an individual, revised annually. The 2026 HHS poverty guideline for one person in the 48 contiguous states and DC is $15,960 (ASPE page), and 4 x $15,960 = $63,840. Maine DOL guidance stating a dollar figure was not found. Employees earning more than the figure are not covered by this particular bar.
- Notice
- Employer must disclose, before the offer of employment that will require it, a statement that a noncompete will be required, and must provide a copy of the agreement not less than 3 business days before it must be signed (599-A(4)).
- Waiting period
- Except for health care practitioners, the terms of a noncompete do not take effect until after one year of the employee's employment or 6 months from the date the agreement was signed, whichever is later (599-A(5)).
Exceptions and special rules
- Statute defines 'noncompete agreement' as a contract or provision prohibiting an employee or prospective employee from working in the same or a similar profession or in a specified geographic area for a period after termination (599-A(1)(B)); it has no sale-of-business carve-out and does not address buyer-seller covenants.
- Section 599-A(2): a noncompete may be presumed necessary if the employer's legitimate interest cannot be adequately protected by an alternative restrictive covenant such as a nonsolicitation or nondisclosure agreement.
- Employer-to-employer agreements restricting one employer from soliciting or hiring another employer's employees or former employees (including franchise and contractor/subcontractor agreements) are prohibited to enter into or enforce, with a civil fine of not less than $5,000 (26 MRSA 599-B).
- Broadcasting industry contracts: a provision barring an employee from working in a specified area for a specified period after contract expiration or termination without employee fault is presumed unreasonable (26 MRSA 599).
- Veterinarian (licensed under Title 32, ch. 71-A) employed in a facility in which the veterinarian has no ownership interest. Employer may not require or permit a noncompete; a court may not enforce one entered into or renewed with such a veterinarian before the paragraph's effective date unless the veterinarian works in a facility in which he or she has an ownership interest (599-A(3)(B), added by PL 2023, c. 118). (26 MRSA 599-A(3)(B))
- Health care practitioner (any individual qualified or licensed under state law to perform or provide health care services to persons in the State) employed by an entity in which the practitioner has no ownership interest. Employer may not require or permit a noncompete (599-A(3)(C)); any noncompete that is enforceable must recognize an individual's right to choose his or her own health care practitioner (599-A(2), last paragraph); the one-year/6-month delay in 599-A(5) does not apply to health care practitioners. Applies to noncompete agreements entered into or renewed on or after the Act's effective date (PL 2025, c. 718, sec. 5), i.e. July 29, 2026. (26 MRSA 599-A(1)(A-1), (2), (3)(C), (5); PL 2025, c. 718)
Non-solicitation clauses
A nonsolicitation agreement is not within the statutory definition of a 'noncompete agreement' (599-A(1)(B)); 599-A(2) names nonsolicitation and nondisclosure agreements as alternative covenants. Agreements between two employers not to solicit or hire each other's employees are prohibited by 26 MRSA 599-B.
Remedies
An employer that violates subsection 3 (prohibited for certain workers) or subsection 4 (disclosure and notice) commits a civil violation for which a fine of not less than $5,000 may be adjudged; the Department of Labor enforces (599-A(6)). The statute states no private right of action or attorney-fee provision.
Which agreements it covers
26 MRSA 599-A applies to all noncompete agreements entered into or renewed after the section's effective date (PL 2019, c. 513, effective 90 days after adjournment of the 129th Legislature, First Regular Session). The health care practitioner amendments of PL 2025, c. 718 apply to agreements entered into or renewed on or after the Act's effective date, July 29, 2026 (general effective date for non-emergency laws of the 132nd Legislature, Second Regular Session, per the Legislature's home page). 2026-07-29 (health care practitioner provisions; entered into or renewed on/after); earlier provisions: entered into or renewed after the 2019 effective date
Recent changes
- 2026-07-29. PL 2025, c. 718 (LD 2200, signed 2026-04-15) added the 'health care practitioner' definition, the bar on noncompetes for health care practitioners without an ownership interest, the patient-choice requirement, and removed the one-year/6-month delay for them. Effective date is the Legislature's published general effective date (session adjourned 2026-04-29); the chapter has no emergency preamble. A law-firm summary reports July 13, 2026, which conflicts with the Legislature's date. Source
- 2023. PL 2023, c. 118 added the veterinarian bar (599-A(3)(B)) and restructured subsection 3 (the 400%-of-poverty-level wage bar dates from 2019). Source
- 2019. PL 2019, c. 513 enacted 26 MRSA 599-A (reasonableness limit, 400%-of-poverty-level wage bar, disclosure and notice, delayed effect, $5,000 fine) and 599-B. Source
Primary sources
- 26 MRSA 599-A (Noncompete agreements) (official source)
- PL 2025, c. 718 (LD 2200, HP 1479), An Act Relating to Noncompete Agreements Between Employers and Health Care Practitioners (official source)
- LD 2200 text and status (enacted, signed 2026-04-15, Chapter 718) (official source)
- Maine Legislature home page: 132nd Legislature adjournment and general effective date (2026-07-29) (official source)
- 26 MRSA 599 (Broadcasting industry contract) (official source)
- 26 MRSA 599-B (Restrictive employment agreements) (official source)
- PL 2019, c. 513 (An Act To Promote Keeping Workers in Maine) (official source)
- HHS 2026 poverty guidelines (one person, 48 contiguous states and DC: $15,960) (official source)