📄 NORTH DAKOTA · NON-COMPETE LAW
Non-competes in North Dakota
Non-compete enforceability is decided state by state, and the range is enormous: some states void them outright for nearly all workers, others enforce them if "reasonable" in scope, duration, and geography. Where you WORK, and the law the agreement selects, both matter — and many signed non-competes are partly or wholly unenforceable.
The North Dakota statute
VERIFIED PRIMARY SOURCE
§ N.D. Cent. Code § 9-08-06
North Dakota statutorily voids most non-compete clauses except in connection with sale of business or partnership dissolution.
Read the North Dakota source text →
What non-competes law covers
Outright bansA handful of states refuse to enforce employee non-competes almost entirely, no matter what the contract says.
Reasonableness testsMost states enforce non-competes only when narrowly tailored: limited time (often ≤1–2 years), limited geography, and a legitimate business interest beyond ordinary competition.
Income thresholdsA growing number of states void non-competes below a salary floor, or for hourly and non-exempt workers.
Choice-of-law gamesEmployers sometimes select a friendlier state’s law in the contract. Several protective states override those clauses for their resident workers.
What to do, in order
- Find the restriction’s three dimensions in your agreement: how long, what geography, what activity.
- Check the law of the state where you actually work — not just the state named in the contract.
- Non-solicitation and confidentiality clauses are separate promises with separate rules; don’t assume they fall with the non-compete.
- Before taking a competing role, get the specific clause reviewed — the analysis below is general information, not legal advice for your situation.
Common questions
I signed it — am I stuck?
Not necessarily. A signature doesn’t make an unenforceable restriction enforceable. If your state bans or limits non-competes, the clause may be void regardless of what you signed.
Does a non-compete apply if I’m laid off?
It depends on the state and the wording. Some states and courts are reluctant to enforce non-competes against workers terminated without cause; others enforce them regardless. Check both the clause and your state’s rule.
What’s the difference between a non-compete and a non-solicit?
A non-compete restricts who you can work for; a non-solicit restricts contacting former clients or recruiting former colleagues. Courts treat them differently — non-solicits survive in many places non-competes don’t.
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This page is general legal information, not legal advice, and doesn’t create an attorney-client relationship. Statutes change and have exceptions; the linked primary source controls. For advice on your situation, consult a licensed attorney in your state.