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10,000 Lakes and . . . No Noncompetitive? Minnesota Passes Law Banning Non-Competes Effective July 1, 2023
As expected, on May 24, 2023, Governor Tim Walz signed a new law banning noncompete agreement in Minnesota. The ban will be effective for such agreements entered on or after July 1, 2023. By enacting the Omnibus Jobs, Economic Development, Labor and Industry appropriations bill (MN SF 30035), Minnesota becomes only the fourth state (along […]
NLRB Finds Its First Noncompete Target—and Its Charges Go Well Beyond an “Overbroad” Noncompete
The National Labor Relations Board (NLRB) has found its first target under recent guidance issued in a memo from its General Counsel claiming that noncompete agreements may violate the National Labor Relations Act (NLRA). According to Bloomberg Law, “[t]the NLRB’s first enforcement action against an employer’s noncompete agreement targeted a Michigan cannabis processor and ended […]
Illinois Court Requires Express Delineation of Any Non-Employment Consideration for a Restrictive Covenant
For the last decade, one of the biggest issues in the Illinois noncompete law has been what constitutes adequate consideration for a post-employment restrictive covenant, apart from employment lasting at least two years after the agreement was signed. The “24 month rule” set forth in Fifield v. Premier Dealer Services, Inc.2013 IL App (1st) 120327 […]
Senators Release Report from Government Watchdog on the Prevalence and Economic Effects of Noncompete Agreements Amid Intensifying Federal and State Efforts to
On May 17, 2023, US Senator Rob Wyden (D-OR) announced the release of a long-awaited report on the US Government Accountability Office’s multi-year investigation into the use of noncompete agreements across the US labor market. In announcing the release, Senator Wyden said that the GAO report “highlights the problems of noncompete agreements – particularly their […]