What is the annual earnings threshold for a noncompetition covenant to be enforceable against an independent contractor of a Bumble Roofing franchisee in Washington?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
chisor's reasonable estimated or actual costs in effecting a transfer.
Pursuant to RCW 49.62.020, a noncompetition covenant is void and unenforceable against an employee, including an employee of a franchisee, unless the employee's earnings from the party seeking enforcement, when annualized, exceed $100,000 per year (an amount that will be adjusted annually for inflation). In addition, a noncompetition covenant is void and unenforceable against an independent contractor of a franchisee under RCW 49.62.030 unless the independent contractor's earnings from the party seeking enforcement, when annualized, exceed $250,000 per year (an amount that will be adjusted annually for inflation). As a result, any provisions contained in the franchise agreement or elsewhere that co
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–45)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, in Washington, a noncompetition covenant is void and unenforceable against an independent contractor working for a Bumble Roofing franchisee unless the independent contractor's earnings, when annualized, exceed $250,000 per year. This threshold is subject to annual adjustments for inflation.
This means that if a Bumble Roofing franchisee in Washington wants to enforce a non-compete agreement against an independent contractor, they can only do so if that contractor earns more than $250,000 annually. If the contractor earns less than this amount, the non-compete agreement is not legally enforceable. This protects lower-earning independent contractors from being unduly restricted in their ability to work for others after their engagement with the Bumble Roofing franchisee ends.
This provision is specific to Washington state law (RCW 49.62.030) and is designed to balance the interests of businesses in protecting their confidential information and customer relationships with the interests of workers in being able to freely seek employment. Franchisees operating in Washington need to be aware of this limitation when drafting and enforcing non-compete agreements with their independent contractors. The FDD explicitly states that any conflicting provisions in the franchise agreement are void and unenforceable in Washington, underscoring the importance of adhering to state law.