North Dakota Non-Compete Agreement Template
Reviewed by the Agiled editorial teamUpdated June 2026
Non-compete law is the most state-divergent area in employment contracting — four states ban these agreements outright, a dozen more impose salary floors or notice rules, and the rest apply judge-made reasonableness tests that differ in temperament. This page covers what North Dakota requires; the download is our standard non-compete template, to be scoped to North Dakota's rules below.
North Dakota non-compete rules at a glance
| Enforceability | Void by statute (N.D. Cent. Code §9-08-06) — one of the three historic state bans. |
|---|---|
| Protected workers / thresholds | All employees |
| Required formalities | Sale-of-business and partnership-dissolution exceptions only |
| Overbroad agreements | Void outright; no reasonableness analysis |
State laws change frequently and this summary is not legal advice. Verify current rules against the state statute or with a licensed attorney before relying on them.
How North Dakota handles non-compete agreements
North Dakota's ban predates the modern debate by a century — borrowed from the same Field Code as California's — and its courts have refused every invitation to soften it. The practical drafting rule for North Dakota: void by statute (N.D. Cent. Code §9-08-06) — one of the three historic state bans.. Before using this template, confirm the current statute — non-compete law has changed in more than a dozen states since 2020, and the FTC's federal ban attempt keeps the area moving.
North Dakota non-compete agreement FAQs
Are non-compete agreements enforceable in North Dakota?
Void by statute (N.D. Cent. Code §9-08-06) — one of the three historic state bans. Coverage limits matter here: all employees.
What happens to an overbroad non-compete in North Dakota?
Void outright; no reasonableness analysis Draft to the narrowest restriction that protects the actual business interest — the safety net (or lack of one) above is what you're betting on.
What formalities does a North Dakota non-compete require?
Sale-of-business and partnership-dissolution exceptions only Procedural failures are now the most common way non-competes die — more common than substantive overbreadth in states with notice rules.
Does the FTC non-compete ban apply in North Dakota?
The FTC's 2024 rule banning most non-competes was set aside by a federal court before taking effect and remains in litigation, so it is not currently in force in North Dakota or any state. State law controls — which is why the state-specific rules above are the ones to draft around.
The full non-compete agreement guide
Clause-by-clause guidance, common mistakes, and the complete template text live on the main page: Non-Compete Agreement Template — full guide and download.