Are Non-Competes Enforceable in Nevada?
Last updated: 2026-10-07 · Verified against the statutes 2026-10-07
Pay threshold / worker limits
Void for hourly workers; others must be reasonable
A Nevada non-compete is void unless supported by valuable consideration, no broader than the employer needs, not unduly harsh on the employee and proportionate to the consideration. It may not apply to employees paid solely by the hour (excluding tips), and may not stop a former employee from serving customers who leave voluntarily without being solicited. After a layoff or restructuring it is enforceable only while the employer keeps paying the employee. Courts must revise an overbroad covenant and enforce it as revised.
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).
Allowed only with strict limits
Nevada allows this non-compete only if it meets the statute's conditions — check each item below.
- Nevada: Void for hourly workers; others must be reasonable. NRS 613.195
- If employment ends by layoff or termination without cause: If employment ends in a reduction in force, reorganization or similar restructuring, the covenant is enforceable only while the employer pays the employee's salary, benefits or equivalent compensation (including severance). NRS 613.195
Other Nevada rules to check
- Non-solicitation clauses: A covenant may not restrict a former employee from serving a former customer who sought out the employee voluntarily without solicitation, if the employee otherwise complies with the covenant.
- If a court finds it too broad: Courts may narrow an overbroad covenant to what's reasonable.
- Penalties: If an employer applies a covenant to an hourly employee or tries to block customer-following, the court must award the employee attorney's fees and costs.
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.
Nevada non-compete rules
- Statute
- NRS 613.195
- Hourly employees
- Non-competes are barred for employees paid solely on an hourly basis.
- Layoffs / firing without cause
- If employment ends in a reduction in force, reorganization or similar restructuring, the covenant is enforceable only while the employer pays the employee's salary, benefits or equivalent compensation (including severance).
- Non-solicitation
- A covenant may not restrict a former employee from serving a former customer who sought out the employee voluntarily without solicitation, if the employee otherwise complies with the covenant.
- Overbroad covenants
- Courts may narrow an overbroad covenant to what's reasonable
- Penalties
- If an employer applies a covenant to an hourly employee or tries to block customer-following, the court must award the employee attorney's fees and costs.
Recent and pending changes
Pending: SB 378 (2025), banning non-competes for patient-facing health care providers, passed both houses but was vetoed by the Governor on June 11, 2025.
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 Nevada?
Void for hourly workers; others must be reasonable. A Nevada non-compete is void unless supported by valuable consideration, no broader than the employer needs, not unduly harsh on the employee and proportionate to the consideration. It may not apply to employees paid solely by the hour (excluding tips), and may not stop a former employee from serving customers who leave voluntarily without being solicited. After a layoff or restructuring it is enforceable only while the employer keeps paying the employee. Courts must revise an overbroad covenant and enforce it as revised.
Did the FTC ban non-competes in Nevada?
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 2026-10-07Other states
Same category (Pay threshold / worker limits): Colorado, District of Columbia, Illinois, Maine, Maryland, Massachusetts, New Hampshire, Oregon
Protect information instead with a confidentiality agreement (NDA generator), or hiring in Nevada? Use the offer letter generator.
Not legal advice. Enforceability depends on the agreement's wording and the facts; consult an employment attorney licensed in Nevada.