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CT HB06594
Bill
Status
2/2/2023
Primary Sponsor
Labor and Public Employees Committee
Click for details
AI Summary
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Noncompete agreements entered or renewed after July 1, 2023 are limited to one year maximum duration and must protect a legitimate business interest (trade secrets, confidential information, or customer goodwill) that cannot be protected by less restrictive means
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Noncompetes are prohibited for employees earning less than three times minimum wage and independent contractors earning less than five times minimum wage; only exempt employees may be subject to enforceable noncompetes
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Employers must provide written copies of noncompete agreements at least 10 business days before the acceptance deadline or signing date, and the agreement must include a statement of worker rights and be signed separately from other employment documents
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Exclusivity agreements preventing workers from holding additional jobs or being self-employed are prohibited except for higher-earning exempt employees or when additional work would create safety hazards or substantially interfere with scheduling
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Violations result in liability for actual damages or $5,000 (whichever is greater) plus attorney's fees; courts cannot modify noncompliant noncompetes to make them enforceable, and the Attorney General may bring civil actions on behalf of aggrieved workers
Legislative Description
An Act Concerning Noncompete Agreements.
Last Action
File Number 11
3/6/2023