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MI HB5690
Bill
Status
6/12/2014
Primary Sponsor
Gretchen Driskell
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AI Summary
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Amends Michigan's antitrust reform act to clarify that non-compete agreements must protect "the employer's reasonable competitive business interests" and only apply when an employee voluntarily leaves employment.
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Changes language from "termination of employment" to "the employee voluntarily leaves" to limit non-compete enforcement to voluntary departures rather than involuntary terminations.
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Requires employers to inform prospective employees in writing about non-compete agreement requirements at or before the time of the initial job offer.
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Requires employers to disclose in any job posting or advertisement that acceptance of a non-compete agreement is a condition of hire.
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Allows courts to limit unreasonable non-compete agreements in terms of duration, geographical area, and type of employment, and to enforce the modified agreement.
Legislative Description
Labor; fair employment practices; disclosure of noncompete agreement; require at initial offer of employment. Amends sec. 4a of 1984 PA 274 (MCL 445.774a).
Labor, fair employment practices
Last Action
Printed Bill Filed 06/13/2014
7/16/2014