Unfair competition laws are designed to protect consumers and businesses from unfair, deceptive business or trade practices. Unfair competition claims include trademark infringement, patent infringement, copyright infringement, misappropriation of trade secrets, and breach of restrictive covenants in employment agreements and contracts for the sale of businesses.

Unfair or deceptive trade practices usually target consumers and include misleading claims about the quality or characteristics of goods or services; bait and switch sales tactics; and the unauthorized substitution of an advertised or represented brand or quality of goods for a lesser brand or quality of goods. Most unfair competition laws are located in state statutes and court opinions (common law). But patent, copyright, and trademark laws that may be the source of unfair competition claims are located in federal statutes.

In North Dakota, unfair competition laws are in place to protect both consumers and businesses from deceptive and unethical practices. These laws encompass a range of issues including trademark infringement, patent infringement, copyright infringement, misappropriation of trade secrets, and violations of restrictive covenants in employment or business sale contracts. North Dakota's specific statutes and common law decisions address unfair competition to ensure fair business practices. For instance, the North Dakota Century Code contains provisions that deal with deceptive trade practices, prohibiting actions such as false advertising and misleading representations about products or services. Additionally, federal laws play a significant role in the state, particularly in matters of intellectual property such as patents, copyrights, and trademarks. These federal statutes provide a uniform framework for addressing unfair competition claims that cross state lines or have a broader national impact.