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The vast body of restrictive covenant law continues to develop across the country as states navigate refining their approach to non-compete and non-solicitation agreements with some expansions along with the general trend of...more
The enforceability of noncompetition agreements is a widely debated topic in and outside of the legal world. In just the last year, it has been a repeat topic on the floor of the Washington state legislature. States across...more
As anticipated, New Jersey has joined the growing list of state legislative efforts aimed at prohibiting or restricting the use of noncompetes and no-poach agreements....more
Last year in April, the Federal Trade Commission (FTC) published a rule to ban most non-compete agreements nationwide. Within hours the rule was challenged in courts across the country, and after months of federal litigation...more
Ohio Senate Bill 11 (SB11)—supported by members from both sides of the political spectrum—has been introduced in the Ohio Legislature, aiming to prohibit employment agreements that restrict employees from competing with their...more
The FTC’s noncompete rule, which proposed to ban nearly all noncompetes, was enjoined by a Texas District Court in August 2024. While the FTC has launched a Joint Labor Task Force focused on “rooting out and prosecuting...more
The Florida Legislature passed the “Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth (CHOICE) Act” last month to provide employers two new outlets for protecting confidential information and...more
Bipartisan legislation was recently introduced in the Ohio Senate that would ban employee noncompete agreements in Ohio. Ohio Senate Bill 11 would prohibit any restriction on an employee’s or independent contractor’s ability...more
A bill recently passed by the Florida House and Senate and poised to become law effective July 1, 2025, will substantially change the noncompete landscape for employers doing business in Florida. If Gov. Ron DeSantis signs...more
On April 24, 2025, the Florida Legislature passed legislation to create two new forms of noncompetes for employers and businesses: a covered garden leave provision and a provision limiting noncompetes to a specific geographic...more
Consistent with our previous reporting that states would continue to address noncompete issues even after the apparent end of the FTC Noncompete Rule, Kansas has joined the growing list of jurisdictions to pass or introduce...more
With the Federal Trade Commission’s proposed nationwide ban on noncompetes seemingly dead, states continue to march forward with their own regulation of such agreements. Washington’s current law bans noncompetes for employees...more
Last summer, the New York State legislature made waves when it passed a bill that effectively would have banned noncompete agreements. New York’s Governor vetoed that bill in late December 2023. This year, however, it is...more
It should come as no surprise to readers of our blog that restrictive covenants are facing significant headwinds. The last decade or so has seen significant limitations on such agreements—mainly non-competes, but also other...more
The Florida Legislature is currently considering two bills that, if enacted in their current form, would significantly reduce (and potentially eliminate altogether) the enforceability of noncompete agreements against...more
On October 12, 2023, the Wisconsin legislature introduced Assembly Bill 481, which proposes the ban of employee non-compete agreements in the Badger State. Currently, employee non-compete agreements in Wisconsin are allowed...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
A common example of a non-compete restriction is a new CPA who signs such an agreement as part of his or her onboarding paperwork. Years later, the CPA considers moving to another firm, or opening their own firm, but that...more
Venture capitalists refer to “secret sauce” as the differentiator that gives one startup the edge over competitors. The secret sauce, properly protected, is a trade secret. However, employee turnover can threaten the secret...more
Last summer, after a decade of fits and starts, and just minutes before the end of the 2018 legislative session, the Massachusetts legislature finally passed comprehensive non-compete reform, which went into effect on October...more
Effectively drafted restrictive covenants are valuable tools employers can utilize to protect their proprietary interests. Covenants not to compete and covenants not to solicit an employer’s clients or employees are the most...more
As reported by Trade Secrets Watch last month, several states (including Maryland, Maine, New Hampshire, and Rhode Island) recently passed legislation curtailing the use of non-compete agreements. Now, the federal government...more
Senators Chris Murphy (D-Conn.) and Todd Young (R-Ind.) have introduced legislation entitled the Workforce Mobility Act (“WMA”). The WMA, like its prior incarnation from last year, seeks to ban non-compete agreements outside...more