Rhode Island Governor Daniel McKee has signed a bill that prohibits the use of nondisclosure or non-disparagement agreements regarding civil rights abuses “as a condition of employment.” According to a recent update to the legislature’s website, the bill was signed on June 22, 2023.
- The Rhode Island governor signed a bill that prohibits employers from requiring employees enter into nondisclosure or non-disparagement agreements.
- The new law took effect immediately.
The law, Senate Bill (S) 0342, prohibits employers from requiring employees to sign a nondisclosure or non-disparagement provision “concerning alleged violations of civil rights or alleged unlawful conduct, or any agreement with a clause that requires alleged violations of civil rights remain confidential.” Under the law, any contractual provision that violates this prohibition is “void as a violation of public policy.” The new law took effect immediately.
Ogletree Deakins previously covered the passage of S0324 in our story, “Rhode Island Nondisclosure Agreements Bill Moves to Governor; Senate Passes New Noncompete Ban,” which indicated that the bill had been sent to the governor’s desk.
A separate Rhode Island bill to prohibit noncompetition agreements between a buyer and a seller of a business that recently passed the state Senate is still under consideration in the state House.