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NY S00734
Bill
Status
1/6/2021
Primary Sponsor
Alessandra Biaggi
Click for details
AI Summary
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Adds new section 191-d to New York labor law to regulate non-compete agreements between employers and employees.
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Defines non-compete agreements as contractual provisions prohibiting or restricting employee employment after job conclusion based on time period, geographical area, or industry/employer restrictions.
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Establishes that non-compete agreements are enforceable only if they: protect legitimate employer interests; do not cause undue hardship to employees; are not harmful to the public; and are reasonable in duration and geographic scope.
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Classifies situations involving job loss during declared state of emergency or disaster emergency as undue hardship on employees.
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Voids any non-compete agreement that violates any of the four enforceability requirements; takes effect immediately upon enactment.
Legislative Description
Prohibits non-compete agreements; provides that a non-compete agreement is only enforceable if such agreement: is no greater than required for the protection of the legitimate interest of the employer; does not impose an undue hardship on the employee; is not injurious to the public; and is reasonable in time period and geographic scope; makes related provisions.
Last Action
RECOMMIT, ENACTING CLAUSE STRICKEN
7/22/2022