As a small business owner, you invest heavily in your team. You provide training and access to client lists. The fear that a key employee could leave and open a competing business nearby is a major concern. For years, Florida courts could be unpredictable about non-compete agreements.
A new law has changed this. The Contracts Honoring Opportunity, Investment, Confidentiality and Economic Growth (CHOICE) Act, effective July 1, 2025, makes it easier for Florida employers to enforce their non-competes.
What has changed for employers?
The CHOICE Act shifts the legal balance in your favor. Previously, an employer often had to prove to a court that their non-compete was reasonable. Now, a covered non-compete agreement is presumed to be enforceable.
This change is significant. The burden of proof now falls on the employee to demonstrate why the agreement is unenforceable. This makes challenging a valid non-compete much more difficult for a former employee.
Key provisions for business owners
The new law provides clear guidelines for creating stronger agreements. To be covered by the act, your non-compete or a new “garden leave” provision must meet certain conditions.
Key elements often include:
- The agreement must be in writing
- It must advise the employee to consult with legal counsel
- The employee must acknowledge they may receive confidential information
The act also formalizes “garden leave” provisions. This allows you to pay a departing employee during a notice period to prevent them from working for a competitor.
How this impacts your business
This law provides a powerful tool to protect your trade secrets, customer relationships and training investments. For roofing companies or beauty salons, this could mean protecting your proprietary methods or valuable client books.
However, this new power also requires you to be proactive. Simply using an old template you found online is risky. You must draft your agreements carefully to meet the new standards and be enforceable.
Reviewing your current employee agreements
The CHOICE Act does not automatically fix old or poorly drafted non-competes. This new law presents a critical opportunity to review your existing employee contracts and onboarding documents.
Ensuring your agreements comply with the current standards is a vital step in protecting your business. If you have questions about your non-compete agreements or other employment policies, consider speaking with an experienced employment law attorney.