Are non-compete agreements enforceable in Georgia?
1. Baseline Rule. Georgia's modern regime is the Georgia Restrictive Covenants Act (GRCA), O.C.G.A. §§ 13-8-50 to 13-8-59, effective May 11, 2011, following a 2010 constitutional amendment. Covenants signed before that date are governed by older, more restrictive common law that voids overbroad covenants without modification.
2. Reasonableness Factors. Section 13-8-53 makes restraints enforceable only against employees who (a) customarily and regularly solicit customers, (b) make sales, (c) perform key duties as management or professional employees, or (d) possess "selective or specialized skills, learning, or abilities" gained from the employer. For covered employees, restraints must be reasonable in time, geographic area, and scope of prohibited activities.
3. Consideration. Continued at-will employment is generally sufficient consideration in Georgia.
4. Wage Thresholds. None — but the statutory categories of covered employees effectively exclude many lower-wage roles.
5. Blue Pencil / Reformation. Section 13-8-53(d) expressly authorizes courts to modify overbroad restrictive covenants to render them reasonable — a major departure from prior Georgia law. The court may "blue pencil" but must not change the duration extensively.
6. Industry Carve-Outs. Lawyers barred by Georgia RPC 5.6. Physicians: enforceable but scrutinized.
7. Time Limits. Section 13-8-57 establishes presumptions: 2 years post-employment is presumptively reasonable for an employee; 3 years for a distributor/franchisee; 5 years for a seller of business assets.
8. FTC Rule. Enjoined nationwide by Ryan LLC v. FTC (E.D. Tex. Aug. 2024); on appeal.
9. Garden Leave / Forfeiture-for-Competition. Permitted.
10. Choice of Law. Georgia courts apply Georgia law where another state's law conflicts with Georgia public policy, particularly the GRCA.
This is legal information, not legal advice.
- Your job duties do not fit any of the four GRCA-covered employee categories
- Your covenant pre-dates May 11, 2011, and uses overbroad language
- Employer seeks blue-pencil modification of an obviously unreasonable restraint
- O.C.G.A. §§ 13-8-50 to 13-8-59 (Georgia Restrictive Covenants Act)
- Becham v. Synthes USA, 482 F. App'x 387 (11th Cir. 2012)
- Georgia Const. Art. III, § VI, Para. V (2010 amendment)
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.