You didn't talk about where you are, and location matters a lot. Also, I hate to sound like reddit, but your friend might want to talk to an employment lawyer i

You didn't talk about where you are, and location matters a lot. Also, I hate to sound like reddit, but your friend might want to talk to an employment lawyer if they have issues with this kind of clause. Many of my friends work in finance, which is even worse than healthcare about non-competes. In practice, without discussing any possible concrete payments that may or may not have been awarded to anyone I know, because they would be bound by confidentiality agreements that they would never violate: - Companies usually only enforce it on "key people" but they do it liberally, as many of these companies have non-compete payout riders on their key person insurance. - They may not enforce the whole term --- it is their choice. - They will probably offer full salary during the non-compete period (at least in Chicago, where less than full salary won't even make it past mediation). If you lawyer up, you can probably negotiate at least COBRA/benefits payments as well and possibly part of your previous yearly bonus. - If you take another job during the non-compete period, you may need to prorate the salary against what you're being paid to not work. - If your friend plans to "fight" they should be ready for a protracted battle with many months of limbo, unpaid status during which the company will attempt to have injunctions issued against a new company to keep your friend from working. Also, many of these contracts have mandatory non-binding arbitration followed by mediation, though several lawyers I talked to said they usually just file for court anyway immediately if they're fighting, since that is where it will end up. Anyway, after talking to a lawyer, if she feels like it's worth the downside risk of having to spend two years volunteering at a local animal shelter and working on her Project Euler achievements, sign away. If not, or if the lawyers in their area have different advice about what the compensation will be for the non-compete, then walk.