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On June 20, 2025, Texas Governor Greg Abbott signed into law Senate Bill 1318 (SB 1318), which amends Section 15.50 of the Texas Business and Commerce Code, commonly referred to as the “Texas Covenants Not to Compete Act.” ...more
As of June 2024, the legal parameters of Washington noncompetition agreements were refined by the passing of Substitute Senate Bill 5935. The bill, which passed by the Legislature in February and was signed into law by...more
A bill amending Washington’s noncompete law (RCW 49.62) goes into effect on June 6, 2024. One of the changes will require prompt review and likely revisions of existing non-solicitation agreements....more
California recently enacted two bills — SB 699 and AB 1076 — amending and adding to Section 16600 of the California Business and Professions Code to broaden the scope of California’s already expansive prohibitions on...more
Employers should take stock of restrictive covenant agreements that their current and former workforce have signed and which remain in effect. California recently passed two laws amending Section 16600 of the California...more
The California Legislature has sought in recent years to expand the rights of employees in nearly every facet of business in California. Employer restrictions on an employee’s ability to work in the same industry after...more
In July, 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 New York. We also wrote about a Minnesota law that went into...more
On the heels of the New York and FTC non-competition legislation (discussed here and here), Governor Newsom recently signed an amendment to California’s non-compete ban into law. The amendment, S.B. 699, takes effect on...more
Some of the changes imposed by the 2022 amendments to Colorado’s noncompete statute (C.R.S. §8-2-113) are clear and unambiguous. The amendments eliminated the former exception for management employees, imposed salary...more
Washington, D.C.’s new non-compete law, the “Non-Compete Clarification Amendment Act of 2022” (the “Amended Act”) went into effect last month. As of October 1, 2022, employers operating in the District of Columbia are...more
The Council of the District of Columbia passed the Ban on Non-Compete Agreements Amendment Act of 2020 (the “Act”), one of the strictest bans on employee non-compete agreements in the country, approximately two years ago....more
In July 2022, the DC Council approved modifications to its previously enacted Ban on Non-Compete Agreements Amendment Act (the "Act"), previously discussed here. The Act, which had yet to take effect, contained some of...more
After passing some of the nation’s strictest regulations on employer use of non-compete agreements, the D.C. Council has backtracked on some of the law’s most controversial provisions. Employers who rely on non-competes may...more
Colorado has enacted the most significant change to its legal landscape concerning restrictive covenants in the employment context in the state’s history. By enacting House Bill (HB) 22-1317, Colorado has a) eliminated a...more
On August 13, 2021, Illinois Governor JB Pritzker signed into law Senate Bill (SB) 672, an amendment to the Illinois Freedom to Work Act. While the law codifies substantive Illinois common law on restrictive covenants, it...more
At the end of the legislative session, the Illinois legislature amended the “Illinois Freedom to Work Act” in a manner that dramatically alters the landscape of Illinois Restrictive Covenant Law. Perhaps by design, there was...more
Employers seeking to impose restrictive covenants upon employees will face substantial new hurdles beginning January 1, 2022. Previously, the Illinois Freedom to Work Act barred employers from requiring “low wage” workers...more
On May 21, 2021, Oregon Governor Kate Brown signed Senate Bill (SB) 169, making substantial changes to the statute that limits noncompetition agreements with Oregon employees, Oregon Revised Statutes (ORS) 653.295. The...more
Following the Obama White House’s Call to Action in October 2016, state legislatures have been busy enacting restrictive covenant reform, particularly to non-compete laws. By our count, eight (8) states have enacted some type...more
Several states have recently enacted modifications to their respective non-compete laws or have legislation in the pipeline. Most continue the trend of limiting enforceability of non-competes, which are agreements between an...more
We have suggested before that employers should view non-competition and other restrictive agreements as “live” documents, warranting regular examination to ensure they are deployed with appropriate precision and account for...more
We recently posted about a bill in the Utah State legislature, HB 251, which would have essentially prohibited non-competition agreements in Utah. While awaiting debate and final vote in the Utah House, the bill was amended...more