On August 13, 2021, Governor Pritzker signed into law a bill amending the Illinois Freedom to Work Act governing restrictive covenants and non-competition agreements.  On May 30, 2021, the Illinois General Assembly passed a bill codifying existing noncompete law in some respects and modifying it in others.  We detailed the Bill in a prior blog here.  The Bill is now the law.  The amendments become effective on January 1, 2022 and will not apply retroactively.

Continue Reading Illinois Governor Signs Non-Compete Legislation

Following a nationwide trend, Illinois has proposed significant legislation affecting employee restrictive covenants, such as non-compete agreements.  While the proposed law does not dramatically change most aspects of the patchwork of Illinois common law, it adds certainty to long-questioned areas and imposes several threshold hurdles and eligibility factors to the test for assessing enforceable restrictive covenants.

Continue Reading What Employers Need to Know About New Non-Compete Legislation in Illinois

On January 11, 2021, D.C. Mayor Muriel Bowser signed the Ban on Non-Compete Agreements Amendment Act of 2020 (the “Act”), which, once effective, will be one of the broadest bans on non-compete agreements in the country.  Notably, the Act not only forbids agreements and policies that prohibit an employee from being employed by another person, performing work or providing services for pay for another person, or operating the employee’s own business after the employee’s separation from employment, it also bans agreements and policies that prohibit the aforementioned activities during the employee’s employment—thereby rendering anti-moonlighting policies impermissible in the District.  Further, unlike state laws that only prohibit non-competes for lower income workers, the Act applies to D.C. employees regardless of their salary.

Here are the key points employers should know:
Continue Reading New Year, New Rules: The District of Columbia’s New Ban on Non-Compete Agreements