Labor & Employment attorneys Emily Mack and Maja Hartzell recently authored "Employer Tips for Navigating Tennessee Noncompete Law," which was published by Law360.

The article examines Tennessee's new restrictive covenant legislation, which takes effect July 1, 2026, and introduces significant changes to the enforceability of noncompete agreements across the state. The law establishes clearer limits on when noncompete agreements may be used and for how long they may last, while providing employers with greater statutory guidance in an area historically shaped by judicial discretion.

Emily and Maja explain that employers should look beyond the law's compensation thresholds and duration limits to understand its broader practical implications. The article notes that routine employment actions, such as renewing an agreement, promoting an employee, or adjusting compensation, could potentially trigger application of the new statutory framework. While the legislation narrows the circumstances under which noncompete agreements may be enforced, it leaves intact other important tools, including confidentiality, nondisclosure, and nonsolicitation agreements, which may increasingly play a role in protecting business interests going forward.

The article highlights how Tennessee's new restrictive covenant legislation reflects a broader national trend toward increased scrutiny of noncompete agreements and greater regulation of post-employment restrictions. Emily and Maja's perspective underscores an emerging reality for employers: protecting confidential information, customer relationships, and competitive advantages increasingly requires a thoughtful, proactive approach that balances business needs with a rapidly evolving legal landscape.