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Restrictive Covenants New Legislation State and Local Government

Sheppard Mullin Richter & Hampton LLP

Washington’s Amended Non-Compete Law Creates New Considerations for Employers

Washington Governor Jay Inslee recently signed Senate Bill 5935 into law, amending and expanding Washington’s statute restricting the enforceability of noncompetition covenants (Revised Code of Washington 49.2). The amended...more

Steptoe & Johnson PLLC

The Federal Trade Commission Ban on Non-Competes and its Impact on Transitioning Representatives and Advisors

Steptoe & Johnson PLLC on

On April 23, 2024, the Federal Trade Commission (FTC) issued its final rule banning non-compete provisions nationwide (the Rule). While the FTC contends that non-competes keep wages low, suppress new ideas and stifle the...more

Perkins Coie

Washington State Tightens Noncompete Restrictions

Perkins Coie on

Washington state businesses that have noncompetition agreements with employees or independent contractors will be subject to new requirements under the latest amendment to the state’s noncompetition law beginning June 6,...more

Mintz - Employment Viewpoints

“What is Love? Baby, Don’t Sue Me: AB 1076 and California’s Quickly Approaching Valentine’s Day Notification Deadline”

This Valentine’s Day isn’t just about romance in California. As a reminder, February 14, 2024 also marks the deadline for employers to show their employees a different kind of love – love in the form of an explicit,...more

Sheppard Mullin Richter & Hampton LLP

Necessity Is the Mother of Invention – But New York Law Says Employers Better Not Take the Credit

On September 15, 2023, New York Governor Kathy Hochul signed a law that made dramatic changes to the enforceability of invention assignment provisions in employment agreements and likely in related agreements including offer...more

Sheppard Mullin Richter & Hampton LLP

Time for Employers to Modify Minnesota Protective Covenant Templates

For those employers who have not yet modified their Minnesota employment and non-compete templates, the time is now. Pursuant to MN SF 3035, as of July 1, 2023, Minnesota employers are prohibited from entering into...more

Perkins Coie

June Tip of the Month: New York State Legislature Passes Bill Banning Noncompete Agreements

Perkins Coie on

On June 20, 2023, the New York State Legislature passed a bill which, if signed by Governor Kathy Hochul, will impose a blanket ban on—and render unlawful—all future noncompete agreements in New York. As explained more fully...more

Foley Hoag LLP

New York May Soon Ban Use of Non-Compete Agreements

Foley Hoag LLP on

On June 20, 2023, the New York State Assembly passed bill A01278 (the “Bill”), which, if it goes into effect, will ban the use of new employee non-compete agreements in New York. The New York State Senate already passed the...more

Sheppard Mullin Richter & Hampton LLP

The End of Non-Competes in New York? State Legislature Passes Non-Compete Ban Moving One Step Closer to the Edge

A sweeping bill that would effectively ban all newly entered non-compete agreements (and potentially impact provisions and agreements that act as a de facto non-compete) for all employees, regardless of wage or income level,...more

McDermott Will & Emery

New York Legislature Passes Noncompete Ban and Awaits Governor’s Signature

McDermott Will & Emery on

The New York State Legislature has passed a bill that will prohibit employers from entering covenants not to compete with their employees and contractors. The bill specifically exempts nondisclosure and client nonsolicitation...more

Perkins Coie

New York State Legislature Passes Bill Banning Noncompete Agreements

Perkins Coie on

The New York State Assembly passed a bill on June 20, 2023, which, if signed by New York Governor Kathy Hochul, will impose a blanket ban on—and render unlawful—all future noncompete agreements. New York’s proposed law is the...more

Harris Beach PLLC

New York State Moves to Ban Employee Non-Compete Agreements

Harris Beach PLLC on

New York inched closer to fully banning non-compete agreements on June 20, 2023, with the Legislature approving a bill banning their use in the future. The bill will soon be sent to Governor Kathy Hochul, who is expected to...more

Shutts & Bowen LLP

Federal Ban on Non-Competition Agreements Introduced in the House of Representatives

Shutts & Bowen LLP on

On September 1, 2022, Representative Mike Garcia introduced H.R. 8755, titled The Restoring Workers’ Rights Act (“RWRA”) to the House of Representatives, and if it passes and is ultimately signed into law, it will ban...more

Sheppard Mullin Richter & Hampton LLP

Colorado’s New Restrictive Covenant Law Now Effective

On August 10, 2022, Colorado House Bill 22-1317 became law. Following the national trend of limiting employer use of non-compete and non-solicit covenants, Colorado now prohibits the use of non-competes and non-solicits...more

Perkins Coie

May Tip of the Month: Legislation Limiting Employers’ Use of Restrictive Covenants

Perkins Coie on

Adding to a growing list that already includes Massachusetts, D.C., California, and Illinois, in May 2022, several more states took steps to enact legislation to limit employers’ ability to use non-compete and other...more

Perkins Coie

Washington, D.C., Ban on Non-Competes Postponed Until October 2022

Perkins Coie on

Mayor Muriel Bowser signed the District of Columbia’s Ban on Non-Compete Agreements Amendment Act of 2020 (D.C. Act 23-563) (the Act) on January 11, 2021. The Act includes one of the most expansive bans on non-compete...more

Tonkon Torp LLP

New Legislation is a Blow to Oregon Employers Relying on Noncompetition Agreements

Tonkon Torp LLP on

In their most recent session, the Oregon Legislature passed, and Gov. Kate Brown signed into law, Senate Bill 169 (SB 169) – a bill which continues to erode the protections of noncompetition agreements for employers...more

Holland & Hart - Employers' Lawyers

The Disappearing Future of Non-Compete Agreements

For the last two decades, with the principal exception of California and a handful of other jurisdictions, non-competition covenants have been a standard component of the defense architecture for U.S. companies to protect...more

Sheppard Mullin Richter & Hampton LLP

Illinois Governor Signs Non-Compete Legislation

On August 13, 2021, Governor Pritzker signed into law a bill amending the Illinois Freedom to Work Act governing restrictive covenants and non-competition agreements. On May 30, 2021, the Illinois General Assembly passed a...more

Sheppard Mullin Richter & Hampton LLP

What Employers Need to Know About New Non-Compete Legislation in Illinois

Following a nationwide trend, Illinois has proposed significant legislation affecting employee restrictive covenants, such as non-compete agreements. While the proposed law does not dramatically change most aspects of the...more

Stoel Rives - World of Employment

Oregon Legislature Further Limits Employee Non-Competition Agreements, Including Imposing a 12-Month Limit on Duration

Over the last several years, the Oregon Legislature has whittled away employers’ ability to enforce employee non-competition agreements (see our posts from 2007, 2015).  Senate Bill 169, which Governor Brown signed into law...more

Sheppard Mullin Richter & Hampton LLP

Employment Agreements: DC’s Recent Ban on Non-Competes is One of the Broadest in the Country

On January 11, 2021, the mayor of the District of Columbia, Muriel Bowser, signed the Ban on Non-Compete Agreements Amendment Act of 2020 (the “Act”), which is set to be one of the broadest and most expansive bans on...more

Stoel Rives - World of Employment

Utah Employers’ Ability to Use Non-Competes May Be Substantially Limited

The Utah State Legislature is currently considering legislation that would significantly limit the use of non-compete agreements in Utah.  Senate Bill 46 (SB 46) has passed the Senate and received a favorable recommendation...more

Sheppard Mullin Richter & Hampton LLP

New Year, New Rules: The District of Columbia’s New Ban on Non-Compete Agreements

On January 11, 2021, D.C. Mayor Muriel Bowser signed the Ban on Non-Compete Agreements Amendment Act of 2020 (the “Act”), which, once effective, will be one of the broadest bans on non-compete agreements in the country. ...more

Hogan Lovells

D.C.’s non-compete ban creates sea change – even for employers that don’t use non-competes or other restrictive covenants

Hogan Lovells on

On January 11, 2021, District of Columbia Mayor Muriel Bowser signed the Ban on Non-Compete Agreements Amendment Act of 2020 (the Act). The Act has significant implications for D.C. employers, even those that do not use...more

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