Section node
Definition of a non-compete clause
16 CFR 910.1
- What this page is
- Section node, 16 CFR 910.1
- Checked against the official source
- 2026-08-15Changed
- Responsible publisher
- ExploreWorld Legal, editorial deskLiability position
Short answer
What does 16 CFR 910.1 require, and where does it carry an outcome in the rule tree?
16 CFR 910.1 is the paragraph the Non-compete decision agent rests on for this question. Terms that prevent or penalise work after the employment ends. The block was read against the publisher on 2026-08-15 and carries 2 outcomes in the agent's rule tree. The reference can be cited as it stands, with a link to the official text and a content hash.
16 CFR 910.1Checked against the publisher 2026-08-15Official text
A source reference, not legal advice.
- Jurisdiction
- 16 CFR Part 910, 89 Fed. Reg. 38342
- Section node
- definition
- Read
- 2026-08-15
- Hash
- sha256:5157012cac3668a7
Outcomes resting on this section
The rules below point to this section in their outcome. The verdict is a machine classification, not a judgment on an individual matter.
nc-sale
The sale-of-business exception may apply
Even states with a ban permit clauses in the sale of a business, see Cal. Bus. & Prof. Code § 16601. The clause must be reasonable in time and area.
risk, Requirement applies conditionally
nc-ban-state
The non-compete clause is void in the state
California (Cal. Bus. & Prof. Code §§ 16600 and 16600.5), Minnesota (Minn. Stat. § 181.988), North Dakota (N.D. Cent. Code § 9-08-06) and Oklahoma (15 Okla. Stat. § 219A) void employee non-competes. The FTC federal rule (16 CFR Part 910) was set aside by a court on 20 August 2024.
prohibited, Requirement applies
Section nodes
- Prohibition as adopted16 CFR 910.2
- Notice duty as adopted16 CFR 910.2(b)
- Court orderRyan LLC v. FTC, N.D. Tex., 20 August 2024
The verdict is a machine classification of the outcome, not legal advice and not a compliance decision.
Verifiable trust signals
- Six fixed blocks, one source per line
- No sentence written by a language model
- Engine version and read date on every answer
- No customer data, no documents, no advice
- Model card and audit published under the EU AI Act