California’s Governor signed Assembly Bill (AB) 1076 on October 13, 2023, which adds new Business & Professions Code §16600.1, making it unlawful to impose non-compete clauses on employees – which contractual restrictions already are void under Business & Professions Code §16600. Read more.
On September 15, 2023, New York Governor Kathy Hochul signed into law a new section of the New York Labor Law limiting the assignment of inventions by employees to their employers. Specifically, Section 203-f of the Labor Law renders unenforceable provisions in employment agreements that require employees to assign certain inventions to their employer which
On September 1, 2023, Governor Newsom signed Senate Bill (SB) 699, which buttresses current state law that voids contracts that restrain an employee from engaging in a lawful profession, trade, or business of any kind. California’s Business and Professions Code section 16600 states, “[E]very contract by which anyone is restrained from engaging in a
On January 5, 2023, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking (NPRM) to broadly ban the use of non-compete covenants throughout the country. The proposed rule, which would supersede all contrary state laws, is remarkable for its sweeping definition of “non-compete clauses” that fall within the ban. Jackson Lewis provided an
The Federal Trade Commission (FTC) has issued a Notice of Proposed Rulemaking to broadly ban the use of non-compete covenants throughout the country. The proposed rule, which would supersede all contrary state laws, would extend to “de facto” non-compete clauses, i.e., contractual provisions that have the effect of prohibiting workers from seeking or accepting employment
Having initially enacted a total ban on non-compete agreements that went so far as to ban prohibitions against moonlighting with competitors, the District of Columbia City Council has significantly changed the law’s scope. Details of the amended D.C. “ban,” including how the act permits non-compete agreements for “highly compensated employees,” are laid out the article,
As reported in a web article prepared by our D.C. colleagues Matt Nieman, Joe Schuler, Caroline Cheng, and Alyssa Testo, found here, the District of Columbia Council again has deferred the “applicability date” of the D.C. Non-Compete Ban, this time to October 1, 2022. We previously reported about this law, and the first deferral