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Non-Compete Laws in Arkansas

Arkansas enforces employee non-competes by statute when the employer has a protectable business interest and the restriction is no broader than necessary, with two years presumed reasonable; since Act 232 of 2025, non-competes that restrict a physician's practice are void.

Last checked . General information, not legal advice.

Arkansas at a glance

Status
Enforceable if reasonable (statute)
Courts must reform an overbroad covenant; continued employment is enough consideration. Physician non-competes are void (2025).
Enforceable against employees
Yes, if reasonable
A two year post-termination restriction is presumptively reasonable.
Advance notice required
No
Ark. Code 4-75-101 contains no advance notice rule.

Sources

Last checked

The rules in Arkansas

Are employee non-compete agreements banned, restricted or enforceable in Arkansas?

Status in Arkansas: Enforceable if reasonable (statute). Courts must reform an overbroad covenant; continued employment is enough consideration. Physician non-competes are void (2025).

Can an employer enforce a non-compete against an employee in Arkansas?

Yes, if reasonable. Enforceable against employees in Arkansas: yes, if reasonable. A two year post-termination restriction is presumptively reasonable.

Does Arkansas require employers to give advance notice of a non-compete?

No. Advance notice required in Arkansas: no. Ark. Code 4-75-101 contains no advance notice rule.

Where do the Arkansas non-compete laws come from?

The rules above come from Ark. Code 4-75-101. Each source is linked on this page. We last checked them in October 2026.

Good to know

Act 232 of 2025 (approved March 4, 2025) added Ark. Code 4-75-101(k): a covenant not to compete that restricts a physician's right to practice within the physician's scope of practice is void.

Continued employment is enough consideration, and courts must reform an overbroad covenant.

What this means in practice

Read the restriction closely before signing. Note how long it lasts, the area it covers, which activities it bars and which state's law the contract says applies. A choice-of-law clause does not always control, because some states refuse to apply another state's law to their own residents or workers.

Salary thresholds are often adjusted every year for inflation. If a state uses a threshold, check the figure for the year the agreement was signed or is being enforced, and how the statute defines earnings.

A non-compete is different from a non-solicitation or confidentiality agreement. Many states that limit non-competes still allow narrower clauses that protect trade secrets or customer lists. An employment lawyer can explain how the rules apply to a specific agreement.

General information, not legal advice. Laws change, and cities can add their own rules, so check the current statute before you rely on it.