As we predicted when the New York legislature passed a bill that would ban noncompetes in the state without even an exception for the sale of a business, Governor Kathy Hochul has said that she wants changes to the bill – called chapter amendments – before she will sign it. According to Bloomberg, Governor Hochul told reporters, “What I’m looking at right now is striking the right balance between protecting low and middle-income workers, giving them flexibility to have mobility to go from job to job as they continue up the ladder of success. But those who are successful have a lot ...
Last week, the New York State Senate advanced two bills seeking to ban both “no-poach” clauses in franchise agreements and “no-rehire” clauses, which are commonly used in settlement agreements.
The first of these bills, known as the End Employer Collusion Act (Bill S562), prohibits no-poach agreements between franchisors and franchisees. Such agreements restrict franchisees from soliciting or hiring current or former employees of the franchisor or other franchisees. The End Employer Collusion Act would also provide a private right of action for any person denied ...
A recent report issued by the Trade Secrets Committee of the New York City Bar recommends that New York State’s legislature adopt statutory guidelines governing the use of non-compete agreements for lower-salary employees.
As explained in the report, statutory limitations on the use of non-compete agreements have been a hot issue in many states and even at the federal level in recent years. New York currently has no statutory law generally concerning trade secrets or non-compete agreements. The report advocates a limited change to New York’s unique status as a common law ...
Blog Editors
Recent Updates
- Spilling Secrets Podcast: Beyond Non-Competes - IP and Trade Secret Assessment Strategies for Employers
- Spilling Secrets Podcast: Wizarding and the World of Trade Secrets
- Two Appeals To Determine Fate of FTC’s Noncompete Ban
- NLRB General Counsel Calls for Crack Down and Harsh Remedies for Non-Competes and “Stay or Pay” Provisions
- Pennsylvania Plaintiff That Failed in Effort To Block FTC Noncompete Ban Drops Lawsuit