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RI S2160
Bill
Status
Introduced
1/16/2026
Primary Sponsor
Matthew LaMountain
Click for details
AI Summary
- Prohibits noncompetition agreements against all employees, expanding current law which only banned them for nonexempt workers, students, minors, and low-wage employees
- Noncompetition agreements remain enforceable only when made in connection with the sale of a business entity or equity interest, provided they are reasonable in scope, time-frame, and application
- Establishes a $125,000 annualized earnings threshold below which noncompetition agreements are automatically void and unenforceable
- Creates a new civil action allowing employers to sue employees who violate trade secret agreements, with remedies including injunctive relief, compensatory and punitive damages, and attorneys' fees
- Takes effect January 1, 2027
Legislative Description
Prohibits noncompete agreements except for noncompete agreements between a seller and buyer of a business; creates civil action for an employer for the violation of an agreement by employee regarding disclosure or wrongful utilization of trade secrets.
Labor And Labor Relations
Last Action
Committee recommended measure be held for further study
3/12/2026
Committee Referrals
Judiciary1/16/2026
Full Bill Text
No bill text available