News & Analysis as of

Restrictive Covenants State and Local Government

McDermott Will & Emery

SB 951 Revives Restrictive Oregon Law on Corporate Practice of Medicine

McDermott Will & Emery on

On January 10, 2025, the Oregon Legislative Counsel introduced Senate Bill (SB) 951, aiming to modernize Oregon’s corporate practice of medicine (CPOM) doctrine. If enacted, SB 951would prohibit management services...more

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

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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

Perkins Coie

District of Arizona Evaluates Restrictive Covenants

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The U.S. District Court for the District of Arizona recently evaluated the reasonableness of two restrictive covenants—the nonsolicitation of customers and the nonsolicitation of employees—along with claims related to...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Minnesota Legislative Update 2024, Part II: Don’t Miss the Omnibus - Legislators’ Last Chance to Pass Employment Law Bills

As the Minnesota Legislature enters the latter half of its 2023–2024 legislative session, the pressure is on to meet critical deadlines before adjournment on May 20, 2024. House and Senate committees are racing against the...more

Seyfarth Shaw LLP

Amendments To Washington State’s Noncompete Statute Go Into Effect June 6, 2024

Seyfarth Shaw LLP on

Effective January 1, 2020, Washington enacted a noncompete statute which, among other things, required employers to satisfy notice obligations and compensation thresholds to use noncompete agreements with employees and...more

Mintz - Employment Viewpoints

New Legislative Session, New Attempts at Banning Non-Competes in New York (City)

Following the recent failed attempt at broadly banning non-compete agreements in New York statewide (discussed here), three new bills were just introduced to do the same, this time in New York City.   The most comprehensive,...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

Troutman Pepper Locke

New York Governor Vetoes Proposed Ban on Noncompete Agreements

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Q. Did New York institute a ban against noncompete agreements? ...more

Seyfarth Shaw LLP

Georgia Signals Greater Leeway in Revising Overbroad Non-Competes

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In a recent decision, the Eleventh Circuit seemed to approve a more forgiving standard for reviewing restrictive covenants. Courts generally have three colors in their markup kit for restrictive covenants. The first—and most...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

FordHarrison

New York Lawmakers Propose Banning Noncompete Agreements

FordHarrison on

Executive Summary: This month both the New York State (NYS) Senate and the NYS Assembly passed identical bills that effectively ban all noncompete agreements in the state of New York. If signed by Governor Kathy Hochul, the...more

Robinson & Cole LLP

New York Inches Closer to Banning Non-Compete Agreements

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The New York State Legislature passed a bill on June 20, 2023, that seeks to prohibit employers from entering into non-compete agreements with their employees (the “Bill”). If signed by Governor Hochul, the Bill will be a sea...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

Skadden, Arps, Slate, Meagher & Flom LLP

Employment Flash - June 2023

New York, Minnesota and NLRB Act To Limit Noncompetes - New York Legislature Passes Bill To Ban Post-Employment Noncompetes - On June 20, 2023, the New York state Legislature passed a bill that bans post-employment...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 Murtha PLLC

New York State Moves to Ban Employee Non-Compete Agreements

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

Foley Hoag LLP

Employers Should Revisit Their Non-Compete Agreements for 2023

Foley Hoag LLP on

In recent years, there has been a shift across the U.S. to restrict the use of non-compete agreements. In fact, on January 5, 2023, the Federal Trade Commission (“FTC”) proposed a new rule that would effectively ban the use...more

Woods Rogers

FTC Proposes Rule Banning Non-Compete Clauses

Woods Rogers on

On January 5, 2023, the Federal Trade Commission (FTC) proposed a rule to ban non-compete clauses in employment agreements, which it asserts hurts workers and harms competition. The proposed rule would prevent employers from...more

Faegre Drinker Biddle & Reath LLP

Top Noncompete Developments of 2022

2022 was a relatively quiet year in terms of noncompete developments. However, both state legislatures and courts continued to take steps to narrow the circumstances under which noncompetition and employee non-solicitation...more

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