Several states over the past few years have passed legislation prohibiting the use in noncompete agreements (and other employment-related agreements) of out-of-state choice-of-law and forum selection provisions. A few of these states’ laws include enforcement mechanisms with stringent penalties, such as California, which provides for injunctive relief and attorneys’ fees to an aggrieved employee; Washington, which entitles aggrieved employees to actual damages or statutory penalties of $5,000, as well as their attorneys’ fees; and, beginning in August, Colorado, where any violation of that state’s noncompete statute (including the prohibition on out-of-state choice-of-law and forum selection provisions) could lead to civil and criminal penalties.
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Recent Updates
- Epstein Becker Green Files Amicus Brief for 10 National Industry Organizations to Uphold District Court’s Order Setting Aside the FTC Noncompete Ban
- Trade Secrets Litigation: 2025 Update
- The Buckeye State to End Employer Noncompetes? Ohio Introduces Bill That Would Ban Employers from Entering into Noncompetes
- Washington State Seeks to Broaden the Definition of “Noncompetition” and Ban Most Noncompetes
- Preparing for Non-Compete Litigation: 2025 Update