New York State May Be On the Verge of Banning Non-Compete Agreements in Some FormOn July 19, 2023 by Schnader in Publications
Lisa M. Brauner and Tim Hinton published an alert, “New York State May Be On the Verge of Banning Non-Compete Agreements in Some Form.”
On June 20, 2023, the New York State Assembly voted to pass a groundbreaking bill in New York (A1278B) (“NY Non-compete Bill”) that would ban nearly all non-compete agreements and certain restrictive covenants, and amend New York’s Labor Law to add a Section 191-D. The New York State Senate previously passed its own version of the bill (S3100A) on June 7, 2023. As of publication, the combined bill has been returned to the Senate pending formal transmission to the Governor’s office. Recent reports indicate that the Governor’s office is conducting their own review of the bill, and has until December 31 to sign, veto, or request changes to the bill. As currently written, the law would apply prospectively to agreements entered into or modified on or after the law’s effective date.
Click here to read the full alert.