Montana non-compete law

Pay figure in the law

None found in the statutes we read

Separate rules for professions

health care workers

Statutes and official texts quoted

Mont. Code Ann. § 28-2-703; Mont. Code Ann. § 28-2-704(1); Mont. Code Ann. § 28-2-705; Mont. Code Ann. § 28-2-724(1); Mont. Code Ann. § 28-2-724(2); Mont. Code Ann. § 28-2-724(3); Mont. Code Ann. § 28-2-724 (history)

Is a non-compete allowed?

Montana voids contracts restraining anyone from exercising a lawful profession, trade, or business, except as provided in 28-2-704 or 28-2-705.

“Any contract by which anyone is restrained from exercising a lawful profession, trade, or business of any kind, otherwise than is provided for by 28-2-704 or 28-2-705 , is to that extent void.”
Mont. Code Ann. § 28-2-703

Health care and other professions

Contracts with listed health care providers may not restrict their right, after the relationship ends, to practice in any area for any period or to treat or solicit current patients.

“A contract that creates or establishes the terms of employment, a partnership, or any other form of professional relationship with a health care provider described in subsection (2) may not restrict the right of the health care provider, after the termination of the employment, partnership, or other form of professional relationship, to:”
Mont. Code Ann. § 28-2-724(1)

Covered providers include physicians, psychologists, naturopathic physicians, licensed social workers and counselors, behavioral health peer support specialists, RNs and APRNs, and physician assistants.

“(i) a registered professional nurse or an advanced practice registered nurse licensed under Title 37, chapter 8; or (j) a physician assistant licensed under Title 37, chapter 20.”
Mont. Code Ann. § 28-2-724(2)

The health care restriction does not apply to the sale and purchase of a practice or to certain decreasing payback provisions for physicians.

“This section does not apply to a contract in connection with the sale and purchase of a practice”
Mont. Code Ann. § 28-2-724(3)

Exceptions

A seller of a business's goodwill may agree with the buyer not to carry on a similar business within the statutory areas.

“A person who sells the goodwill of a business may agree with the buyer to refrain from carrying on a similar business within the areas provided in subsection (2) so long as the buyer or any person deriving title to the goodwill from the buyer carries on a like business in the described areas.”
Mont. Code Ann. § 28-2-704(1)

Partners may agree upon dissolution not to carry on a similar business within the statutory areas.

“Partners may, upon dissolution of the partnership, agree that one or more of them may not carry on a similar business within the areas provided in 28-2-704 (2).”
Mont. Code Ann. § 28-2-705

When the rules took effect

Section 28-2-724 was enacted in 2023 and amended three times in 2025.

“En. Sec. 1, Ch. 479, L. 2023; amd. Sec. 1, Ch. 104, L. 2025; amd. Sec. 1, Ch. 131, L. 2025; amd. Sec. 1, Ch. 698, L. 2025.”
Mont. Code Ann. § 28-2-724 (history)

Federal rules

On September 5, 2025, the FTC moved to dismiss its appeals in Ryan, LLC v. FTC and Properties of the Villages v. FTC and to accede to vacatur of the Non-Compete Clause Rule. FTC press release, Sept. 5, 2025

The FTC's final rule removes the Non-Compete Rule (16 CFR part 910) from the Code of Federal Regulations. 91 Fed. Reg. (Feb. 12, 2026), FR Doc. 2026-02866

Before you sign, or before you assume you are bound

1. Find every restrictive clause: non-compete, non-solicitation, no-hire and confidentiality are separate promises with separate rules.
2. Note how long each lasts and what area or customers it covers.
3. Check which state’s law the agreement picks and where disputes must be heard.
4. Compare your pay and your job with the Montana rules above.

Check your state with the non-compete checker.

Common questions

Are non-competes enforceable in Montana?

Montana voids contracts restraining anyone from exercising a lawful profession, trade, or business, except as provided in 28-2-704 or 28-2-705. (Mont. Code Ann. § 28-2-703).

Does Montana have special non-compete rules for health care workers or other professions?

Contracts with listed health care providers may not restrict their right, after the relationship ends, to practice in any area for any period or to treat or solicit current patients. (Mont. Code Ann. § 28-2-724(1)).