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Against the backdrop of the FTC’s rule banning non-compete agreements nationwide and the lawsuits challenging that rule, many states have considered legislation narrowing or outright banning non-competes. Minnesota recently...more
New York Gov. Kathy Hochul in December vetoed a bill passed by the New York Legislature that would have prohibited nearly all noncompete agreements in the state regardless of the context, salary level or job function of the...more
As we predicted when the New York legislature passed a bill that would ban noncompetes in the state without even an exception for the sale of a business, Governor Kathy Hochul has said that she wants changes to the bill –...more
Welcome to our Q2 Trade Secret and Restrictive Covenant Update. As you can tell from the update, Q2 was a busy quarter in this space from both a regulatory, legislative, civil litigation and criminal litigation perspective....more
Last month, New York's legislature passed a bill that, if enacted, will substantially prohibit employers from entering into non-competition agreements with their employees. Governor Kathy Hochul is expected to eventually sign...more
Earlier this month, we wrote about a bill passed by the New York State Assembly which, if signed by the governor, will prohibit nearly all noncompete agreements for workers in the state. Now, yet another state, Minnesota, has...more
A bill that would ban nearly all forms of non-competition restrictions in New York passed both houses in the state legislature and is now with Gov. Kathy Hochul to sign into law. If signed, this would have profound...more
The New York State Assembly, during a special legislative session last month, passed a bill that, if signed by the governor, will prohibit nearly all noncompete agreements for workers. With the passage of the bill, New York...more
The New York State Assembly on June 20, 2023, passed Bill A01278, amending the New York Labor Code and prohibiting covenants not to compete, with certain notable exceptions, while also giving covered individuals the right to...more
Summary - On June 20, the New York State Legislature passed a bill prohibiting noncompetes. The bill currently awaits Governor Hochul’s signature. If signed into law, it will take effect just 30 days later, but will only...more
The New York State Legislature recently passed a bill that, if signed by Governor Kathy Hochul, will prohibit businesses from entering into post-employment noncompete agreements with employees, independent contractors, or any...more
On June 20, 2023, the New York State Assembly passed a bill (A1278B) to make non-compete agreements unlawful. The New York State Senate previously passed the bill’s counterpart (S3100A)....more
A bill headed to Governor Kathy Hochul for signature or veto would ban all non-competition covenants (“non-competes”) in the State of New York. Bill No. S3100A (the “Bill”) passed the State Senate on June 7, 2023, and the...more
New York is now the only purely common law state in the country without any statutory guidelines governing both post-employment noncompetes and trade secrets. But that may be about to change. The New York State Legislature...more
Earlier yesterday (June 20, 2023) the New York State Assembly voted in favor of a noncompete ban that was passed by the New York State Senate on June 7. In previous posts here and here, we have discussed in detail this bill...more
On June 20, 2023, the New York State Assembly approved one of two bills concerning non-compete agreements that the New York State Senate just recently passed. Bill No. S3100A, which would prohibit employers from using...more
Monumental changes to New York law on non-compete agreements appear imminent. On June 7, 2023, the New York State Senate approved two bills concerning non-compete agreements. ...more
In a lightning-fast move, the Minnesota Legislature just passed a bill that voids all future covenants not to compete, with limited exceptions for agreements entered into in connection with the sale or dissolution of a...more
On May 17, 2023, the Minnesota state legislature passed an omnibus jobs and economic development and labor funding bill that could have serious implications for employers in the state, including a ban on noncompete clauses,...more
Minnesota is set to ban noncompete provisions in employment contracts as part of a new omnibus bill headed to Governor Tim Walz’s desk. The bill will have a significant impact on Minnesota employers by banning true employment...more
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
The New Jersey legislature is currently considering legislation that would add the state to the growing list of jurisdictions that have significantly limited the scope and enforceability of non-competition agreements and...more
The 2022 legislative session of Colorado’s General Assembly closed with a bang. Among a number of new bills affecting employers, perhaps none was as closely watched as HB 22-1317, which provides substantial changes to...more
After passing more than 500 bills in 2019, including those mandating paid leave and placing limits on noncompete agreements, the Maine Legislature reconvened on January 8, 2020, and directed its attention to nondisclosure...more
With the start of a new year, in-house counsel and human resources professionals will want to be aware of what’s on the horizon for 2020 and beyond. It’s a good time for employers to take a breath and consider what issues...more