MN SF405

Covenants not to compete in employment agreements are void and unenforceable in Minnesota, with exceptions for business sales and business dissolutions.

Nondisclosure agreements, trade secret protections, and nonsolicitation agreements are not considered covenants not to compete and remain enforceable.

Employers cannot require Minnesota-based employees to agree to provisions that require disputes to be adjudicated outside Minnesota or that deprive employees of Minnesota law's substantive protections.

Employees enforcing rights under this law may be awarded reasonable attorney fees in addition to injunctive relief and other available remedies.

The law is effective the day following final enactment and applies to all contracts and agreements entered into on or after that date.