skilled employees while ensuring that disincentives affecting mobility, including noncompete agreements, do not negatively impact the workforce in the United States. 3. Prohibiting noncompete agreements (a) Prohibition (1) In general Except as provided in subsection (b), no person shall enter into, enforce, or attempt to enforce a noncompete agreement with any individual who is employed by, or performs work under contract with, such person with respect to the activities of such person in or affecting commerce. (2) Effect of agreements Except as provided in subsection (b), a noncompete agreement described in paragraph (1) shall have no force or effect. (b) Exceptions (1) Sale of goodwill or ownership interest (A) In general A seller of a business entity may enter into an agreement with the buyer to refrain from carrying on a like business within a specified geographic area described in subparagraph (C), if the buyer, or any person deriving title to the goodwill of the business entity or an ownership interest in the business entity from the buyer, carries on a like business in such specified geographic area. (B) Senior executive officials with severance agreements (i) In general Subject to clause (ii), a buyer or seller of a business entity may enter into a noncompete agreement with a senior executive official who has a severance agreement described in clause (iii) that restricts the senior executive official from performing, within a specified geographic area described in subparagraph (C), any work that is similar to the work that the senior executive official performed for the buyer or seller, if the buyer, or any person deriving title to the goodwill of the business entity or an ownership interest in the business entity from the buyer, carries on a like business in such specified geographic area. (ii) Time-limited agreement A noncompete agreement described in clause (i) may not restrict the senior executive official as described in such clause for a period that is more than one year. (iii) Severance agreement A