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Are Non-Competes Enforceable in Delaware?

Last updated: 2026-10-07 · Verified against the statutes 2026-10-07

Enforceable if reasonable

Enforced if reasonable; void for physicians

Delaware has no general non-compete statute; courts enforce covenants that are reasonable in scope and duration, protect a legitimate interest and survive a balancing of the equities. Delaware courts have discretion to 'blue pencil' an overbroad covenant but increasingly refuse to, striking it entirely instead (the Delaware Supreme Court affirmed that approach in Sunder Energy v. Jackson, 2024). Covenants restricting a physician's right to practice medicine are void by statute.

Check a non-compete

Answer a few questions; the result cites the statute behind each point. Rules verified 2026-10-07. Saved only in your browser.

Thresholds are measured differently by state (salary, cash compensation, W-2 box 1).

Enforceable if reasonable

Delaware enforces non-competes that protect a legitimate business interest and are reasonable in time, geography and scope.

Other Delaware rules to check

  • If a court finds it too broad: Courts have discretion to modify or refuse to enforce.

General information, not legal advice. Enforceability also depends on the exact wording, the employer's legitimate interest and the facts; talk to an employment lawyer before relying on it.

Delaware non-compete rules

Overbroad covenants
Courts have discretion to modify or refuse to enforce

Profession-specific rules

  • VoidA covenant restricting a physician's right to practice medicine in a locale or for a period after the agreement ends is void; other terms, including reasonable liquidated damages for competition, remain enforceable. 6 Del. C. 2707

Federal law

There is no federal ban on employee non-competes. The FTC's 2024 Non-Compete Clause Rule (16 CFR Part 910), which would have voided most non-competes from September 4, 2024, never took effect: a Texas federal court set it aside nationwide on August 20, 2024 (Ryan LLC v. FTC). On September 5, 2025 the Commission voted 3-1 to drop its appeals and accept that ruling, and on February 12, 2026 it formally removed Part 910 from the Code of Federal Regulations. State law therefore decides whether a non-compete is enforceable.

Frequently asked questions

Are non-competes enforceable in Delaware?

Enforced if reasonable; void for physicians. Delaware has no general non-compete statute; courts enforce covenants that are reasonable in scope and duration, protect a legitimate interest and survive a balancing of the equities. Delaware courts have discretion to 'blue pencil' an overbroad covenant but increasingly refuse to, striking it entirely instead (the Delaware Supreme Court affirmed that approach in Sunder Energy v. Jackson, 2024). Covenants restricting a physician's right to practice medicine are void by statute.

Did the FTC ban non-competes in Delaware?

No. The FTC's 2024 rule never took effect — a federal court set it aside in August 2024, the FTC dropped its appeals in September 2025 and removed the rule from the Code of Federal Regulations in February 2026. State law controls, though the FTC still challenges some non-competes case by case.

Official Sources

Figures checked against these sources on 2026-10-07

Other states

Same category (Enforceable if reasonable): Alaska, Arizona, Connecticut, Indiana, Iowa, Kansas, Kentucky, Mississippi

Protect information instead with a confidentiality agreement (NDA generator), or hiring in Delaware? Use the offer letter generator.

Not legal advice. Enforceability depends on the agreement's wording and the facts; consult an employment attorney licensed in Delaware.