Nevada Employment Contract Review
Nevada governs non-competes by statute, and its 2021 amendments (AB 47) were aimed squarely at hourly workers. A non-compete cannot apply to someone paid only by the hour, and an employer cannot stop you serving a former customer who follows you without being solicited. Nevada's final-pay rules are also unusually fast, with wages due immediately on discharge.
Non-compete in Nevada
Generally enforceable if reasonable
Are non-competes enforceable in Nevada?
Here is Nevada non-compete law in plain English, with the statute it rests on.
Enforceable if reasonable and supported by consideration, but not against employees paid solely by the hour. Cannot bar serving customers who came voluntarily, and courts must revise overbroad terms.
Whatever the label in your contract, Nevada courts look at whether the restriction is reasonable in duration, geography, and scope. A nationwide, multi-year, whole-industry ban is far more likely to be narrowed or struck down than a narrow one.
Who owns what you invent in Nevada?
Nevada does not have a specific personal-invention carve-out statute, so a broad IP-assignment clause can reach more of what you create, potentially including side projects. Read the assignment scope and push to limit it to work actually related to your job.
Arbitration and class-action waivers in Nevada
Nevada generally follows the federal rule that arbitration agreements are enforceable. Before you sign, check whether the clause is mutual and whether it waives your right to a class or collective action, you are usually giving up the right to sue in court.
What did Nevada's 2021 non-compete changes add?
Since October 1, 2021, NRS 613.195 makes a non-compete unenforceable against an employee paid solely on an hourly wage basis, not counting tips. The statute also bars an employer from restricting a former employee from serving a customer who left voluntarily and was not solicited, if the employee otherwise honors the covenant.
Nevada gives this rule teeth: if a court finds an employer tried to enforce a non-compete against an hourly employee or to block service to a former customer, it must award the employee reasonable attorney's fees and costs. Separately, if you are laid off in a reduction in force, the statute limits enforcement to the period you are being paid severance.
When must a Nevada employer pay you after the job ends?
Under NRS 608.020, wages owed to a discharged employee are due immediately. An employee who quits must be paid by the next regular payday or within seven days, whichever is earlier (NRS 608.030). If the employer misses those deadlines, NRS 608.040 lets wages continue at the normal daily rate for up to 30 days.
Nevada is also notable for invention ownership. NRS 600.500 presumes that an employer owns patentable inventions an employee develops that relate to the employment, so an IP clause in a Nevada offer often reflects the statutory default.
Nevada sources checked 2026-10-09: Nevada Legislature, NRS chapter 613 (613.195) · Fennemore, Legislative session brings key changes to Nevada non-compete law (AB 47) · J. J. Keller, Final paycheck: Nevada. Laws change; confirm the current rule before relying on it.
What ClauseAudit checks in a Nevada employment contract
- Non-compete enforceability under Nevada law and whether the scope is reasonable
- IP / invention-assignment scope and any personal-time carve-out
- Mandatory arbitration and class-action waiver
- At-will terms and asymmetric notice or severance
- Equity vesting, cliffs, and bad-leaver forfeiture
- Discretionary bonus criteria and clawback provisions
Nevada employment contract FAQ
Are non-competes enforceable in Nevada?
In Nevada, a non-compete is generally enforceable if it is reasonable in time, geography, and scope. Enforceable if reasonable and supported by consideration, but not against employees paid solely by the hour. Cannot bar serving customers who came voluntarily, and courts must revise overbroad terms.
Can my Nevada employer own inventions I make on my own time?
Nevada does not have a specific statute carving out personal-time inventions, so a broad IP-assignment clause can reach more of what you create. Read the assignment scope carefully and ask to limit it to work related to your job.
Do I have to sign a mandatory arbitration agreement in Nevada?
Nevada generally follows the federal rule that arbitration agreements are enforceable. Check whether the clause is mutual and whether it waives your right to a class action, and know that you are usually giving up the right to sue in court. Everywhere in the US, the federal Ending Forced Arbitration Act lets you take sexual harassment and sexual assault claims to court even if you signed one.
What makes a non-compete reasonable in Nevada?
Nevada does not set a presumptive maximum term, so reasonableness is assessed on the whole restriction rather than against a number: how long it runs, how much geography it covers, how broadly it defines the restricted activity, and whether it protects something the employer can genuinely claim an interest in. A restriction that is narrow on one of those and broad on the rest is still vulnerable.
What if I work in Nevada but my employer is in another state?
It matters, because Nevada's neighbours do not all treat non-competes the same way: California (void), Oregon (limited). Which state's law applies turns on the governing-law and venue clauses in your contract and on where the work is actually performed, so those two clauses are worth reading closely before you sign.
Does it help that California voids non-competes?
Only if that state's law actually applies to you. Living next to California does not import its rule into a Nevada contract. What governs is the contract's choice-of-law clause and where you perform the work, which is exactly why those clauses deserve attention.
Is there anything specific to Nevada worth knowing?
Unenforceable against employees paid solely on an hourly wage basis since 1 October 2021.
What else should I check in a Nevada employment contract?
Beyond the non-compete: how invention assignment is worded and whether it reaches work done on your own time; whether disputes go to arbitration and whether class actions are waived; whether notice periods are symmetrical between you and the employer; and how any equity vests, including what happens if you leave before a cliff.
I earn hourly plus tips in Nevada. Can my non-compete be enforced?
Generally no. Since 2021, NRS 613.195 bars non-competes for employees paid solely on an hourly basis, and tips and gratuities do not change that classification. If an employer tries to enforce one anyway, the court must award you attorney's fees and costs. A salaried or commissioned employee is not covered by this specific protection.
Who owns what I invent at a Nevada job?
Nevada leans toward the employer. Under NRS 600.500, an employer is presumed to own patentable inventions an employee develops during employment that relate to that employment, unless a written agreement says otherwise. If you have side projects, list them in the agreement as excluded prior inventions before you sign.
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Nevada: the governing law
- Statute
Nev. Rev. Stat. § 613.195-613.200- Worth knowing
- Unenforceable against employees paid solely on an hourly wage basis since 1 October 2021.
Statute and reformation approach from Beck Reed Riden LLP, Employee Noncompetes: A State-by-State Survey, 2026-01-21. Verify against the current text before relying on it.
How Nevada compares with neighbouring states
Nevada does not treat non-competes the same way as every state it borders, which matters when a contract names another state's law. 2 of its 5 neighbours take a different approach.
Nationally: 4 jurisdictions treat employee non-competes as void, 13 allow them only in limited circumstances, and 34 generally enforce them if reasonable.
State law summarized as of 2026-10-09; statutes change frequently. This is Automated educational information, not legal advice. Always consult a qualified Nevada attorney before signing.