A system and method are provided to reduce the effect of an interfering signal in a radar return signal for a frequency modulated continuous wave (FMCW) radar. Once the interfering signal is detected, an extent of the interfering signal is determined and the data that was corrupted by the interfering signal is not included in the processing of the radar return signal. This allows the radar to detect a target in the presence of the interfering signal. The system and method can benefit any FMCW radar that is within the range of an interfering radar source (e.g. another FMCW radar, a police radar gun, a pulse radar, etc.) operating in the same frequency band as the FMCW radar. An alternative arrangement provides a system and method for determining the frequency of the interfering signal and then avoiding transmitting power in that portion of the frequency spectrum where the interfering signal is present.