A non-compete clause sounds reasonable in the abstract — you're working closely with a client, you have access to their processes, and they don't want you to take that knowledge directly to a competitor. But the non-compete clauses in many freelance contracts go significantly further than that, restricting who you can work with across how broad an industry for how long.
UK Law: What's Enforceable for Freelancers
In the UK, for a non-compete to be enforceable it must:
- Protect a legitimate business interest
- Be reasonable in scope and geography
- Be reasonable in duration
- Not be against public interest
UK courts have generally viewed 6–12 months as reasonable for most contractor arrangements. Two years or more is likely to be challenged.
US Law: State-by-State Variation
Non-compete enforcement in the US varies enormously by state. California, North Dakota, Oklahoma, and Minnesota effectively prohibit non-competes for most workers including contractors. Florida and Texas actively enforce them. The FTC's 2024 rule attempted a federal ban, but has faced legal challenges — check the current position before relying on it.
The Red Flags to Look For
- Duration over 12 months
- Competitors defined vaguely as ‘any entity offering similar services’ rather than named companies
- Restrictions that survive even if the client doesn't pay or terminates the contract early
- Industry-wide restrictions that prevent you practising your profession, not just working with specific competitors
- No compensation during the restricted period
For a full list of the clauses that cause the most problems in freelance contracts, see our complete freelance contract checklist. Non-competes are also covered in our 7 red flags article.
What to Ask For When Negotiating
- Narrow the definition of competitor — ask for named competitors or a specific market segment
- Shorten the duration — propose 3–6 months if the current term is 12 months or more
- Add a carve-out for non-competing work in adjacent areas
- Tie the restriction to active payment — if they don't pay or terminate without cause, the restriction should not apply
For step-by-step guidance on how to frame these requests, read our guide on how to negotiate a freelance contract. You may also want to check the IP assignment clause in the same contract — restrictive covenants and IP clauses often work together.
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Scan Your ContractFAQ
Can a client enforce a non-compete against me if I'm a freelancer, not an employee?
Yes, potentially — though courts apply stricter reasonableness tests to contractor non-competes. The safest approach is to negotiate the clause before signing rather than relying on non-enforcement afterwards.
What happens if I breach a non-compete clause?
The client could seek an injunction or claim damages for demonstrable losses. Most non-compete disputes between freelancers and clients don't reach litigation — but the threat can be used as leverage in payment or IP disputes.
Is a non-solicitation clause the same as a non-compete?
No. A non-compete prevents working with competitors. A non-solicitation clause prevents approaching the client's customers or employees. Non-solicitation clauses are generally narrower and more commonly enforceable than broad non-competes.
BeforeYouSign is an AI-powered educational tool. It does not provide legal advice. Always consult a qualified legal professional before making binding legal decisions.