Non-Compete Laws in Maine
Restricted by income threshold
Maine restricts non-competes for low-wage workers earning at or below 400% of the federal poverty level ($63,840 in 2026) and for veterinarians without an ownership interest. Non-competes must protect a legitimate business interest and be reasonable.
Key details
| Enforceability | Restricted by income threshold |
|---|---|
| Income threshold | 63840 — Workers earning at or below 400% of the federal individual poverty level ($63,840 in 2026) are protected. |
| Banned industries | Veterinarians without an ownership interest in the employer are protected. |
| Blue pencil doctrine | Varies |
| Key statute | 26 Me. Rev. Stat. Ann. §599-A |
What this means for you
If you earn below the threshold, your non-compete is void. Veterinarians are also protected regardless of income.
Non-compete laws in Maine: what you need to know
Maine restricts non-compete agreements based on income, protecting low-wage workers earning at or below 400% of the federal individual poverty level ($63,840 in 2026). The state also provides specific protections for veterinarians who do not have an ownership interest in their employer. For workers earning above the threshold who are not in a protected profession, non-competes must be reasonably necessary to protect a legitimate business interest.
Maine's non-compete law includes several procedural requirements that employers must follow. Employers must provide notice of the non-compete agreement before or at the time of a formal offer of employment, or at least 14 days before it takes effect for existing employees. This requirement ensures that workers can make informed decisions about whether to accept the terms.
One distinctive feature of Maine's law is its penalty structure. Employers that violate the non-compete restrictions face fines of not less than $5,000 for each violation. This per-violation penalty can add up quickly if an employer has applied unenforceable non-competes to multiple workers.
For Maine workers above the income threshold, courts evaluate non-competes using traditional reasonableness standards. The agreement must protect a legitimate business interest, be reasonable as to time and scope, not impose undue hardship on the employee, and not be injurious to the public. Maine courts have historically been moderately skeptical of non-competes and will not enforce agreements that are broader than necessary.
Maine's penalty structure creates a strong deterrent for employers who apply non-competes to workers below the income threshold. The $5,000 minimum fine per violation is significant, particularly for small businesses. This penalty structure means that employers have a financial incentive to evaluate whether their non-competes comply with the law before applying them.
Maine's protection for veterinarians is part of a growing national trend of protecting specific professions from non-competes. The veterinary profession faces significant workforce shortages, and non-competes can exacerbate these shortages by preventing practitioners from serving communities that need them.
More Maine workplace laws
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Frequently asked questions about non-compete laws in Maine
Workers earning at or below 400% of the federal individual poverty level ($63,840 in 2026) cannot be bound by a non-compete agreement. The threshold is tied to the federal poverty level and adjusts each year.
If you do not have an ownership interest in the practice, your non-compete is void under Maine law. Veterinarians who are owners or part-owners may still be bound by non-competes if the agreements meet reasonableness standards.
Yes. Employers must provide notice of the non-compete agreement before or at the time of a formal offer of employment for new hires, or at least 14 days before it takes effect for existing employees.
Fines of not less than $5,000 per violation. If the employer applied unenforceable non-competes to multiple workers, each instance may be a separate violation.
Yes. Maine's restrictions apply to non-compete agreements, not confidentiality or non-disclosure agreements. Your employer can still require you to protect trade secrets and confidential business information.