Non-Compete vs Non-Solicitation

Last updated: February 2025

Quick Comparison

AspectNon-Compete ClauseNon-Solicitation Clause
ScopePrevents all competitive activity in the defined areaOnly prevents approaching specific clients or employees
EnforceabilityHarder to enforce; must be narrowly drawnEasier to enforce as more targeted and proportionate
Impact on employeeSeverely limits employment optionsEmployee can work for a competitor but cannot solicit
Legitimate interestProtects trade secrets and competitive positionProtects client and employee relationships
Typical duration3-12 months6-12 months

What Is a Non-Compete Clause?

A restrictive covenant preventing a departing employee from working for or setting up a competing business for a defined period and geography.

Key Features

  • Prevents the employee from competing in a defined market or area
  • Must be reasonable in scope, duration, and geography
  • Most restrictive type of covenant; hardest to enforce
  • Typically lasts 3-12 months post-employment

Best For

  • Very senior roles with strategic knowledge
  • Employees with access to highly confidential business plans
  • Industries where client relationships are easily transferable

What Is a Non-Solicitation Clause?

A restrictive covenant preventing a departing employee from approaching or soliciting clients, customers, or employees of their former employer.

Key Features

  • Prevents approaching defined clients or employees
  • Less restrictive than a non-compete
  • Easier to enforce because it is more targeted
  • Does not prevent working for a competitor generally

Best For

  • Client-facing roles where relationships are personal
  • Protecting against poaching of key staff
  • Roles where the employee has influence over clients

When to Use a Non-Compete Clause

Use a non-compete for senior leadership, directors, and roles with access to genuinely strategic information. Keep the scope, geography, and duration to the minimum necessary to protect legitimate interests.

When to Use a Non-Solicitation Clause

Use a non-solicitation clause for client-facing roles, sales staff, and anyone with significant personal relationships with clients or influence over other employees.

Which Does Your Business Need?

Most employment contracts should include a non-solicitation clause as a baseline. Add a non-compete only for roles where it is genuinely necessary and can be justified as reasonable. Using both in combination provides layered protection, with the non-solicitation as a fallback if the non-compete is struck down.

FAQ

How long can a non-compete last in the UK?

There is no statutory maximum, but courts assess reasonableness. For most employees, 3-6 months is typically enforceable. For very senior roles, up to 12 months may be upheld. Anything longer is extremely difficult to enforce.

What is the difference between non-solicitation and non-dealing?

Non-solicitation prevents the employee from actively approaching clients. Non-dealing goes further by preventing any dealings with defined clients, even if the client approaches the employee. Non-dealing is more restrictive and harder to enforce.

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This is guidance for UK businesses, not legal advice. Consult a solicitor for complex matters.

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