A Louisiana non compete agreement is a written contract in which a worker agrees not to compete with a company or solicit its customers for a set time. Louisiana voids most restraints on working, so an agreement holds only when it fits an exception in La. R.S. 23:921.[1] The template sets the term, the covered area and the court county in one document.
Last Updated: October 2026. This guide is reviewed and updated regularly to reflect current Louisiana law. If you notice an error or outdated information, please contact us.
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The Louisiana non compete agreement template is an agreement between a Company and an Agent, who is an employee or an independent contractor of the Company. It states how long the restrictions run after the working relationship ends, what the Agent may not do, and which Louisiana county's courts can hear a dispute. Both sides sign and print their names and titles.
The main parts of the template are:
The number of years is the blank that matters most. For an employee, the statute caps the restraint at two years from the end of employment, so check your number against the limits below.[1]
Need a version that is not tied to one state? Use the general non-compete agreement template. FormsPal also offers an employment contract and a confidentiality agreement.
Louisiana voids a contract that restrains anyone from a lawful profession, trade or business, unless La. R.S. 23:921 makes an exception. An agreement that meets an exception is enforceable, but only on the conditions the statute sets for how long it lasts and where it applies.[1]
Every contract or agreement, or provision thereof, by which anyone is restrained from exercising a lawful profession, trade, or business of any kind, except as provided in this Section, shall be null and void.
The statute lets two kinds of workers agree to a restraint inside the same frame.
The table shows the longest restraint the statute allows for each kind of agreement.[1]
| Who is bound | Longest restraint | Counted from |
|---|---|---|
| Employee (agent, servant or employee) | 2 years | End of employment |
| Independent contractor under a written contract | 2 years | Date of the last work performed |
| Seller of a business's goodwill | 2 years | Date of sale |
| Shareholder of a corporation | 2 years | Date the shareholder ceases to be a shareholder |
| Member of a limited liability company | 2 years | Date the member ceases to be a member |
| Partner in a partnership | 2 years | Date the partner ceases to be a partner |
| Partners when the partnership dissolves | 2 years | Date of dissolution |
| Primary care physician | 3 years | Effective date of the initial contract |
| Primary care physician who ends the contract early | 2 years | End of employment |
| Physician other than a primary care physician | 5 years | Effective date of the initial contract |
Watch the court clause. A choice of forum or choice of law clause in an employee's contract is null and void in most cases. The exception is a clause the employee expressly, knowingly, and voluntarily agrees to and ratifies after the incident that is the subject of the civil or administrative action.[1]
The template names Louisiana law and a Louisiana county, so an employer using it for an employee should have a Louisiana lawyer check how this rule applies.
The statute makes separate room for non-competes tied to ownership. A seller of a business's goodwill, a shareholder, a member of a limited liability company and a partner can each agree to stay out of a similar business. Each of these has a two-year ceiling counted from a different starting point.[1] For related paperwork, see the LLC operating agreement and the business bill of sale.
A person who becomes employed by a competing business may be deemed to be carrying on a similar business to that of the party with a contractual right to stop that person from competing. The statute says this holds true even if the person owns no part of the competing business.[1]
The statute sets its own limits for physicians. A contract can restrain a primary care physician from practicing medicine for no more than three years from the effective date of the initial contract. For any other physician the limit is five years.[1]
If the person bound by a Louisiana non-compete fails to perform, the other party does not have to prove irreparable injury. On proof of that failure, a court of competent jurisdiction must order injunctive relief to enforce the agreement. The statute also bars one restraint outright. No contract between an automobile salesman and his employer may restrain him from selling automobiles.[1]
Louisiana's non-compete law is La. R.S. 23:921. It voids any contract that restrains a person from a lawful profession, trade or business unless the statute allows it. The statute allows specific agreements for employees, contractors, sellers of a business, owners, partners and physicians, each with its own limits.[1]
Yes, when it meets an exception in the statute. La. R.S. 23:921 says every contract or agreement, or provision of one, that meets those exceptions is enforceable. An agreement outside the exceptions is null and void.[1]
Check three things against the statute.
The statute says an agreement that meets its exceptions is enforceable. When the person bound fails to perform, a court must order injunctive relief enforcing the agreement, without proof of irreparable injury.[1] For a specific dispute, ask a Louisiana lawyer.
Yes. The statute makes every agreement that meets its exceptions enforceable. For an employee, that means a restraint of no more than two years from the end of employment.[1]
General information, not legal or tax advice.
