Can I require employees to sign non-compete agreements in Nevada? What are the requirements?

Yes, you can require employees to sign non-compete agreements in Nevada, but there are certain requirements that must be met for such agreements to be enforceable.

Requirements for Non-Compete Agreements in Nevada

According to NVRS 613.195, non-compete covenants are void and unenforceable unless they meet the following requirements:

1. The non-compete covenant must be supported by valuable consideration.
2. The non-compete covenant must not impose any restraint that is greater than is required for the protection of the employer for whose benefit the restraint is imposed.
3. The non-compete covenant must not impose any undue hardship on the employee.
4. The non-compete covenant must impose restrictions that are appropriate in relation to the valuable consideration supporting the non-compete covenant.

Additionally, a non-compete covenant may not apply to an employee who is paid solely on an hourly wage basis, exclusive of any tips or gratuities.

Conclusion

In summary, you can require employees to sign non-compete agreements in Nevada, but the agreements must meet the requirements outlined in NVRS 613.195 to be enforceable.

Jurisdiction

Nevada

• Labor