News & Analysis as of October 13, 2024

Contract Terms

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Hiring & Firing refers to the process of recruiting, interviewing and offering employment and the process of evaluating performance and dismissing employees. Hiring & Firing is a highly regulated area and can create tremendous liability for employers who fail to properly adhere to acceptable employment practices. Some of the potential pitfalls in this area stem from discriminatory hiring practices, improper performance evaluations, and retaliatory firings. less -

The Freelance Worker Protection Act

Buchalter on 10/10/2024

On September 30, 2024, Governor Gavin Newsom signed SB 988 into law. The new state law, known as the Freelance Worker Protection Act (“FWPA”), goes into effect on January 1, 2025. The FWPA provides various protections to...more

Washington State Updates and Clarifies Noncompetition and Nonsolicitation Law

Ogletree, Deakins, Nash, Smoak & Stewart,... on 3/29/2024

The 2024 Washington State Legislature passed Substitute Senate Bill (S.S.B.) 5935 in February 2024, and Governor Jay Inslee signed the bill into law on March 13, 2024, updating and clarifying Washington law regarding...more

California Extends Prohibition on Noncompete Agreements

Wilson Sonsini Goodrich & Rosati on 2/8/2024

California law famously bans employee noncompetition agreements, under a statute enacted in 1872. As of January 1, 2024, new amendments to this age-old statute provide clarity about what is—and is not—enforceable....more

This Year Some Employees Will Be Receiving More Than A Valentine's Day Card

Allen Matkins on 2/7/2024

Last year, the California legislature enacted AB 1075 (Bauer-Kahan) which declares it to be unlawful "to include a noncompete clause in an employment contract, or to require an employee to enter a noncompete agreement, that...more

California Amends Noncompete Law (Again) and Adds a Notice Requirement

Epstein Becker & Green on 10/27/2023

California’s Business and Professions Code (the “Code”) has long been the nation’s strictest law on restrictive covenants, essentially prohibiting employee noncompetition agreements except in limited circumstances....more

California’s Non-Compete Shakeup

Littler on 10/18/2023

California enacted two new bills expanding the scope and consequences of the state’s policies against restrictive covenants. Governor Newsom signed Senate Bill 699 into law on September 1, 2023, and Assembly Bill 1076 into...more

Time for Employers to Modify Minnesota Protective Covenant Templates

Sheppard Mullin Richter & Hampton LLP on 8/18/2023

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

Reminder: Minnesota Non-Compete Ban Takes Effect on Saturday, July 1

Epstein Becker & Green on 6/30/2023

As we previously reported, Minnesota will soon become only the fourth state (along with California, Oklahoma and North Dakota) to ban noncompetes. The state’s new law renders void and unenforceable all covenants not to...more

Minnesota Non-Compete Ban Signed into Law and Effective July 1, 2023

Stinson LLP on 5/31/2023

Minnesota Governor Tim Walz has now officially signed into law a bill including provisions that will prohibit employment noncompetition agreements. MN SF 3035, signed by Governor Walz on May 24, 2023, restricts employers from...more

Non-Compete Ban Poised to Become Law in Minnesota

Winthrop & Weinstine, P.A. on 5/26/2023

Minnesota Governor Tim Walz is poised to sign an omnibus bill recently passed by the Minnesota state legislature, which includes provisions that would broadly ban non-competition agreements throughout Minnesota beginning on...more

New Law Changes Non-Compete Landscape for D.C. Employers

Nelson Mullins Riley & Scarborough LLP on 11/3/2022

The long-awaited Washington, D.C. non-compete and anti-moonlighting law finally went into effect on Oct. 1, 2022. At the end of 2020, the Washington, D.C. Council passed the Ban on Non-Compete Agreements Amendment Act of...more

State Law Restrictive Covenants Update

Nelson Mullins Riley & Scarborough LLP on 6/30/2022

Nelson Mullins is continuously monitoring trends and state law changes regarding restrictive covenants in employment agreements. Several states have recently enacted or modified legislation that may significantly restrict an...more

In Colorado, “Low Wage” Now Means Six-Figures For Non-Competes

Proskauer - Law and the Workplace on 6/13/2022

On June 8, 2022, Colorado Governor Jared Polis signed Colorado House Bill 22-1317 (the “Bill”), which was passed by the Colorado Legislature on May 10, 2022. Effective 90 days from the end of the legislative session – on...more

[Podcast]: Ban on Non-Compete Agreements Amendments Act of 2020

Proskauer - Law and the Workplace on 10/21/2021

Tune in as we discuss “The Ban on Non-Compete Agreements Amendment Act of 2020,” a law that is set to take effect in our nation’s capital in 2022. The law essentially bans all employers from entering into any agreements that...more

Illinois Freedom to Work Act Imposes New Restrictions on Restrictive Covenants

Quarles & Brady LLP on 8/30/2021

Note - This article has been updated to reflect that the amendments to the Illinois Freedom to Work Act discussed in our June 9, 2021 article have now been signed into law. The law goes into effect January 1, 2022. Joining...more

Non-Compete News: Illinois Legislature Changes the Game on Non-Compete Agreements

FordHarrison on 8/26/2021

It’s no secret that Illinois courts have historically been less than friendly to restrictive covenants, and non-compete agreements in particular. On August 13, 2021, Governor JB Pritzker signed into law Public Act 102-0358,...more

Illinois Law Places New Limits Restrictive Covenants

Polsinelli on 8/26/2021

On January 1, 2022, Public Act 102-0358, an amendment to the Illinois Freedom to Work Act will take effect and impact all non-compete agreements entered into prospectively. The law will ban employers from using non-compete...more

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

Stoel Rives - World of Employment on 5/28/2021

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

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

Stoel Rives - World of Employment on 3/2/2021

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

An Update on Noncompete Legislation Following Passage of Massachusetts' Non-Compete Law

Jones Day on 7/15/2020

In October 2018, businesses across the country braced for the effects of a noncompete law that was enacted in Massachusetts. The "garden leave" clause in Massachusetts' noncompete law dictated that during the period in which...more

Significant Changes to Dutch Employment Law Take Effect

Jones Day on 2/6/2020

The Situation: Several changes to Dutch employment law took effect January 1, 2020, most notably those resulting from the Labor Market in Balance Act. The Result: Businesses in the Netherlands must be aware of and comply...more

Mark Your Calendars, New York Employers: A Look at the 2020 Effective Dates for Employment-Related Legislation

Kramer Levin Naftalis & Frankel LLP on 1/15/2020

2019 brought a number of important changes in the law that warrant the attention of New York employers. Start off the new year right and ensure your calendars are up to date by including the 2020 effective dates of these New...more

Virginia Employment Law Changes: Looking Back at 2019 and Ahead at 2020

Hogan Lovells on 1/13/2020

As sophisticated employers know, an employer must track and comply with developments not only in federal law, but also state and local law. This blog post details key changes in employment laws in the Commonwealth of Virginia...more

Employers in the Netherlands Can Save on their UI Premiums by Changing Contract Types

Littler on 12/13/2019

Starting January 1, 2020, the new Dutch Balanced Labor Market Act (Wet arbeidsmarkt in balans, WAB) will enter into force. This new law seeks to encourage employers to offer their employees indefinite-term contracts—which...more

Rhode Island Joins the Fray, Passing Legislation that Restricts the Use of Non-Compete Agreements for Certain Low-Wage Workers

Seyfarth Shaw LLP on 11/6/2019

Following in the footsteps of its neighbors Maine, Massachusetts, and New Hampshire, Rhode Island recently enacted legislation that restricts the use of non-competition agreements with certain types of employees. The Rhode...more

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