Free Alabama Non-Compete Agreement: Complete Legal Template

Restrict employee from competing after leaving

Sales Tax: 4%Notary: $5-$15Witnesses: 2

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NON-COMPETE AGREEMENT
State of Alabama

This Non-Compete Agreement is entered into on [DATE] between:

EMPLOYER:
Company: [COMPANY NAME]
Address: [ADDRESS], AL [ZIP]

EMPLOYEE:
Name: [EMPLOYEE NAME]
Address: [ADDRESS], AL [ZIP]

1. NON-COMPETE COVENANT
Employee agrees not to engage in any business that competes with Employer within:
Geographic Area: [RADIUS/AREA]
Duration: [MONTHS/YEARS] after termination of employment

2. NON-SOLICITATION
Employee agrees not to solicit Employer's clients, customers, or employees for [DURATION] after termination.

3. CONSIDERATION
In exchange for this agreement, Employee receives: [  ] Employment [  ] Promotion [  ] $[AMOUNT] [  ] Other: [DESCRIBE]

4. EXCEPTIONS
This agreement does not apply to: [LIST ANY EXCEPTIONS]

5. REMEDIES
Employer may seek injunctive relief and damages for breach. Employee agrees to pay Employer's attorney fees if found in breach.

6. SEVERABILITY
If any provision is found unenforceable under Alabama law, the remaining provisions remain in effect.

This agreement is governed by Alabama law (AL Statutes). Note: Non-compete enforceability varies by state.

EMPLOYER: _____________________ DATE: _____
EMPLOYEE: _____________________ DATE: _____

FAQ: Non-Compete Agreement in Alabama

Is a Non-Compete Agreement required in Alabama?

Yes, in Alabama, a Non-Compete Agreement is required for most transactions of this type. Under Alabama State Code, the document must include all parties' information, be signed, and witnessed by 2 individuals. Failure to use a proper Non-Compete Agreement may result in legal complications.

Does a Non-Compete Agreement need to be notarized in Alabama?

Notarization requirements in Alabama (AL) vary by transaction type. Notary fees in the state typically range from $5-$15. While not always mandatory, notarization adds an extra layer of legal protection and is recommended for high-value transactions.

What are the tax implications of a Non-Compete Agreement in Alabama?

Alabama has a base sales tax rate of 4%. Depending on the type of transaction documented in your Non-Compete Agreement, additional local taxes may apply. Consult with a Alabama tax professional for specific guidance on your situation.

JRJ
Reviewed & Fact-Checked

Jennifer Rodriguez, J.D.

Estate Planning Attorney

Licensed in 5 states, 12+ years experience

Focuses on wills, trusts, and power of attorney documents

This Non-Compete Agreement template for Alabama has been reviewed for accuracy and legal compliance.

Last reviewed: March 2026

Non-Compete Agreement Costs in Alabama

Estimated fees and processing times

Fee TypeCostNotes
Notary Fee$5-$15 (if required)Alabama standard rate: $5-$15
Filing FeeVaries by stateState registration (if applicable)
Processing Time1-3 business daysTypical turnaround in Alabama
Sales Tax4%Alabama base rate (local taxes may apply)
Witness Requirement2 witnessesAlabama requires multiple witnesses
Our TemplateFREEDownload instantly, no cost
Fees shown are Alabama-specific estimates. Contact your local office for exact pricing.

Alabama Non-Compete Agreement Legal Guide

According to Alabama laws, this agreement holds legal weight once properly signed and notarized, ensuring compliance with state regulations.

For Alabama (AL) residents, this Non-Compete Agreement is governed by Alabama State Code. Important details: sales tax at 4%, notary costs of $5-$15, and a requirement for 2 witnesses. The document has indefinite validity once properly executed.

This professionally drafted form provides peace of mind knowing you're compliant with all Alabama legal requirements.

restrictive covenantcompetition restrictiongeographic limitationnon-solicitationtrade secrets
Whether you're a first-time non-compete agreement user or a seasoned professional in Alabama, understanding the legal nuances of this document is essential. Alabama (AL) has specific statutes that govern how this form must be prepared, signed, and filed.

What Alabama Attorneys Want You to Know

Practicing lawyers in Alabama emphasize three things: accuracy, completeness, and compliance with AL statutes. A well-prepared Non-Compete Agreement saves time, money, and potential legal headaches down the road. When in doubt, a brief consultation with a Alabama-licensed attorney is worth the investment.

Legal Validity & Enforcement

Once properly executed, your Non-Compete Agreement is legally binding in Alabama and enforceable in AL courts. The document remains valid indefinitely unless revoked or superseded. Alabama courts generally uphold properly executed documents, provided they comply with applicable AL statutes.

Your Alabama Filing Guide

After downloading, take your time filling in each section. AL statutes require that all information be accurate and current. Once signed by all parties, determine whether Alabama requires you to file the document with a government office, record it with the county, or simply retain it for your records.

What Alabama Law Requires

Alabama's statutes are clear: a valid Non-Compete Agreement must identify all parties by full legal name, include the date of execution, and be signed in the presence of at least one witness where applicable. Failure to meet these requirements under AL law can render the document unenforceable.

Alabama Non-Compete Agreement Requirements

Review the following requirements to ensure your Non-Compete Agreement is legally valid in Alabama.

Notarization required
2 witnesses must sign
Vehicle identification number (VIN) required
Odometer disclosure mandatory
Buyer and seller signatures required
Purchase price must be stated
Date of sale required
Blue or black ink only
Electronic signatures accepted
County clerk filing required

Alabama Notarization

Alabama requires 2 witnesses and notarization may be mandatory. Fees typically range from $5-$15.

Before You Sign

Review all information carefully. In Alabama, a 4% sales tax may apply.

Legal Protection

Keep copies of all signed documents. Alabama law requires all parties to receive copies of executed documents.

Alabama Filing Deadlines

Check Alabama deadlines for filing or recording this document with the appropriate county clerk's office.

Where to File Your Non-Compete Agreement in Alabama

Visit your local County Clerk office to file or notarize your Non-Compete Agreement.

Alabama County Clerk

Alabama Capital

Main Government Building, Alabama

District County Clerk

Alabama Metro Area

County Courthouse, AL

Document Information

Document
Non-Compete Agreement
State
Alabama (AL)
Category
Employment
Format
PDF / Word / Print
Cost
100% Free
Sales Tax
4%
Notary Fee
$5-$15

Alabama Legal Requirements

Governing Statute:

State Law

  • Consult with a licensed attorney for specific requirements

Legal Disclaimer

This template is for informational purposes only and does not constitute legal advice. Laws in Alabama may change. Consult a licensed attorney for advice specific to your situation.