Non-Compete Agreements in South Dakota
How South Dakota law treats non-compete agreements, with the statute or official source.
Short answer: Allowed by statute within limits. An employee may agree, at hiring or during employment, not to compete in the same business and not to solicit existing customers within a specified county, city or other area for up to two years after the agreement ends, if the employer keeps doing a… SDCL §§ 53-9-11, 53-9-11.1, 53-9-11.2
| Non-compete agreements | Allowed by statute within limits. An employee may agree, at hiring or during employment, not to compete in the same business and not to solicit existing customers within a specified county, city or other area for up to two years after the agreement ends, if the employer keeps doing a similar business there. Since July 1, 2023, such provisions are voidable for certain licensed health care practitioners (such as physicians and physician assistants). |
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Where to get help in South Dakota
- South Dakota Department of Labor and Regulation (DLR), Division of Labor and Management
- File a complaint or claim
More South Dakota employment law
- Minimum Wage in South Dakota
- Final Paycheck Laws in South Dakota
- Meal and Rest Break Laws in South Dakota
- Wrongful Termination in South Dakota
- Paid Sick Leave in South Dakota
- All South Dakota employment law rules
FAQ
Are non-compete agreements enforceable in South Dakota?
Allowed by statute within limits. An employee may agree, at hiring or during employment, not to compete in the same business and not to solicit existing customers within a specified county, city or other area for up to two years after the agreement ends, if the employer keeps doing a similar business there. Since July 1, 2023, such provisions are voidable for certain licensed health care practitioners (such as physicians and physician assistants).
General legal information, not legal advice. Laws change and local rules can differ; check the linked official source or talk to a lawyer about your situation.