A Texas non-compete for a sales employee is enforceable only if it’s ancillary to an otherwise enforceable agreement and contains reasonable limits on time, geography, and scope under Texas Business & Commerce Code § 15.50. Because sales roles involve customer relationships and pricing intelligence, Texas courts scrutinize whether the restrictions match the employee’s actual territory […]
Texas law lets employers seek an injunction within days or weeks after a breach if the non-compete is “ancillary to” an enforceable agreement and reasonable in time, geography, and scope under Tex. Bus. & Com. Code § 15.50. In 2026, fast action matters because employees can move accounts, data, and goodwill quickly—often before a case
Texas non-compete agreements remain enforceable only if they meet the Texas Business & Commerce Code § 15.50 “ancillary to an otherwise enforceable agreement” test and are reasonable in time, geography, and scope. The 2022 amendments to Texas’s non-compete law refined what qualifies as protectable goodwill and clarified limits in physician non-competes. This article explains how
Texas non-compete agreements remain enforceable in 2026 if they comply with the Texas Covenants Not to Compete Act and are narrowly tailored, but employers must also track ongoing federal FTC non-compete litigation and any applicable injunctions. The FTC’s 2024 final rule changed the compliance conversation nationwide, even where state law traditionally favors well-drafted restraints. This
Texas courts can still enforce non-compete agreements under the Texas Covenants Not to Compete Act, despite the FTC’s 2023 proposed ban. The proposal has not displaced Texas law and remains tied up in federal administrative and court challenges. This article explains Texas enforceability rules, drafting and proof requirements, litigation steps, and practical strategies for employers
Texas non-competes are enforceable in 2026 only if they satisfy the Texas Covenants Not to Compete Act—yet many will be functionally unusable if the FTC’s non-compete rule is in effect. Small businesses must draft with both Texas statutory requirements and fast-moving federal litigation risk in mind. This article explains how to structure a Texas non-compete
Texas non-compete agreements are enforceable only if they are ancillary to an otherwise enforceable agreement and contain reasonable limits on time, geography, and scope under Tex. Bus. & Com. Code § 15.50. Small businesses use them to protect customer relationships, confidential know-how, and key employees without risking an invalid, overbroad contract. This 2026 update explains
Texas employers can still enforce non-compete agreements, but only if the covenant is “ancillary to or part of” an otherwise enforceable agreement and is reasonable in time, geographic area, and scope under Texas Business & Commerce Code § 15.50. The 2021 amendments clarified key enforcement standards and strengthened courts’ ability to reform overbroad restrictions rather
Texas employers can still enforce noncompete agreements in court if they satisfy the Texas Covenants Not to Compete Act—despite the FTC’s 2024 noncompete rule facing legal blocks and uncertainty nationwide. In Texas, enforceability turns on whether the restriction is ancillary to an otherwise enforceable agreement and is reasonable in time, geography, and scope. This article
