Non-compete laws · ND

North Dakota physician non-compete law

As of October 21, 2026, North Dakota law voids most non-compete agreements, including physicians', with exceptions.

Banned for most workersChecked 2026-10-21

Contracts restraining anyone from exercising a lawful profession, trade or business are void, which covers physician employment noncompetes. Exceptions: sellers of business goodwill, and owners agreeing on dissolution, dissociation or sale of an ownership interest, within a reasonable area. (N.D.C.C. § 9-08-06)

Who it covers

Everyone (all professions and trades); no physician-specific provision.

Exceptions

  • Seller of a business's goodwill (and its partners, members or shareholders) may agree with the buyer not to carry on a similar business within a reasonable geographic area for a reasonable time, if the buyer carries on a like business there
  • Partners, members or shareholders, upon or in anticipation of dissolution or dissociation, or in an agreement on dissociation or sale of an ownership interest, may agree not to carry on a similar business within a reasonable geographic area where the business was transacted

Notes

Official text post-dates the 2025 session, and there was no 2026 regular session. The ownership-transaction exception dates to 2019.

Sources

Questions to ask about your contract

  • Is the radius measured from your practice site or from every location the employer owns?
  • Does the restriction apply if the employer terminates you without cause?
  • Is there a buyout, and how is the amount calculated?
  • What does your state's law say about physician non-competes?

Not legal advice. This page summarizes the law as written. Whether a particular agreement is enforceable depends on its wording, when it was signed and court decisions. Ask an attorney licensed in North Dakota.