Non-Compete Agreement - South Dakota
SOUTH DAKOTA EMPLOYEE NON-COMPETE AGREEMENT
1. PARTIES AND COVERED ROLE GATE
This Agreement is made as of [EFFECTIVE DATE] by and between [EMPLOYER LEGAL NAME], a [STATE AND ENTITY TYPE] with its principal place of business at [ADDRESS] (“Employer”), and [EMPLOYEE FULL LEGAL NAME], residing at [ADDRESS] (“Employee”).
For a contract entered into on or after July 1, 2023, do not use this form to restrict a practitioner defined in SDCL § 53-9-11.1 from providing professional services after the relationship ends. For a contract entered into on or after July 1, 2026, the same gate applies to a community services provider defined in § 27B-1-17 providing services to individuals with developmental disabilities. Section 53-9-11.2 supplies sale-of-practice and qualifying patient or client solicitation exceptions; those require separate review.
Role gate: [NOT A COVERED PRACTITIONER OR COMMUNITY SERVICES PROVIDER / DO NOT USE]. Employment status: [NEW HIRE / CURRENT EMPLOYEE]. Consideration: [DESCRIBE].
2. NARROW COVENANTS
“Restricted Period” means [___, NOT MORE THAN 24] months after this Agreement terminates. This Agreement terminates when Employee’s employment ends unless the parties end it earlier in writing. “Restricted Territory” means [SPECIFIED COUNTY, FIRST- OR SECOND-CLASS MUNICIPALITY, OR OTHER SPECIFIED AREA]. “Competitive Business” means [DESCRIBE THE BUSINESS OR PROFESSION SHARED BY EMPLOYER AND EMPLOYEE].
During the Restricted Period, Employee shall not engage directly or indirectly in the Competitive Business within the Restricted Territory or solicit Employer’s existing customers there, but only while Employer continues a like business in that area and only to the extent SDCL § 53-9-11 permits.
Employee shall not use or disclose protected confidential information or trade secrets except as applicable law permits. Nothing prohibits general skill and experience or legally protected activity.
3. ENFORCEMENT AND GENERAL TERMS
A party may seek only relief available under applicable law upon the required proof and security. This Agreement creates no automatic tolling, bond waiver, disgorgement, employee indemnity, fee shifting, or uncapped-liability declaration.
South Dakota law governs. Subject to any enforceable arbitration agreement, the parties submit to courts in [COUNTY], South Dakota.
4. EXECUTION
| EMPLOYER | EMPLOYEE |
|---|---|
| [EMPLOYER LEGAL NAME] | [EMPLOYEE FULL LEGAL NAME] |
| By: ___________________________ | ______________________________ |
| Name/Title: ___________________ | Date: _________________________ |
| Date: _________________________ |
Sources and References
- South Dakota Legislature, SDCL § 53-9-11: https://sdlegislature.gov/Statutes/53-9-11
- South Dakota Legislature, SDCL § 53-9-11.1: https://www.sdlegislature.gov/api/Statutes/Statute/53-9-11.1
- South Dakota Legislature, SDCL § 53-9-11.2: https://www.sdlegislature.gov/api/Statutes/Statute/53-9-11.2
About this template
- Last updated
- November 3, 2026
- Citations checked
- November 3, 2026
- Jurisdiction
- South Dakota
- Category
- Employment & HR
Legal authority
- SDCL § 53-9-11
- SDCL § 53-9-11.1
- SDCL § 53-9-11.2
- SDCL § 27B-1-17(3)
Employment documents govern the relationship between a company and its workers, from offer letters and employment agreements through handbooks, performance reviews, and separations. Done right, they set clear expectations, protect against wrongful termination and discrimination claims, and give both sides a record to rely on. Done poorly, they invite lawsuits, agency complaints, and costly disputes.
Not legal advice
This template is provided for informational purposes. We recommend having an attorney review any legal document before signing, especially for high-value or complex matters.
Checked against the law it cites
A reviewer verified this template's legal citations against the official source on November 3, 2026.
SDCL § 53-9-11 (checked November 3, 2026): "Except as otherwise provided in § 53-9-11.2, an employee may agree with an employer"
SDCL § 53-9-11.2 (checked November 3, 2026): "a provision of a contract, entered into on or after July 1, 2026, is voidable if it restricts a community services provider"
SDCL § 53-9-11.1 (checked November 3, 2026): "For purposes of § 53-9-11.2, a practitioner means:"
SDCL § 27B-1-17(3) (checked November 3, 2026): "(3) "Community services provider," any person or entity, whether for-profit or not-for-profit, which receives compensation for providing services to persons with developmental disabilities"
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