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MN HF4376

Bill

Status

Introduced

3/11/2020

Primary Sponsor

Jennifer Schultz

Click for details

Origin

House of Representatives

91st Legislature 2019-2020

AI Summary

  • Declares all covenants not to compete void and unenforceable in Minnesota employment agreements, with narrow exceptions.

  • Permits non-compete agreements only if the employee earned annual salary at least equal to the median family income for a four-person family in Minnesota and the employer pays at least 50 percent of the employee's highest annualized base salary during the entire restricted period.

  • Prohibits employers from requiring Minnesota-based employees to agree to provisions that would require disputes to be adjudicated outside Minnesota or deprive them of substantive Minnesota law protections.

  • Allows courts to award reasonable attorney fees to employees enforcing rights under the statute and voids any violating contract provisions at the employee's request.

  • Effective the day following final enactment and applies to contracts and agreements entered into on or after that date.

Legislative Description

Non-compete covenants provided as void and unenforceable, and protection of substantive provision of law provided to apply to matters arising in Minnesota.

Last Action

Author added Olson

3/12/2020

Committee Referrals

Labor3/11/2020

Full Bill Text

No bill text available