A protective agreement between a company and its employees or consultant(s) stipulating that the employee/consultant will not compete with the company after termination of the employment arrangement. To be legally enforceable, non-competition agreements must have a specified (and reasonable) time period and geographic limitation. Non-competition agreements are also frequently entered into between the buyer and seller of a business. State laws vary widely on the enforceability of non-competition agreements, although generally non-competition agreements are more enforceable in the context of buying businesses than in connection with employment arrangements.