Restrictive Covenants
Employers across the US will soon be prohibited from entering or enforcing noncompete clauses under a new final rule approved by the Federal Trade Commission.
Under a new Utah law, employers may no longer enforce confidentiality clauses relating to sexual assault or harassment.
Effective January 1, 2024, two new laws - SB 699 and AB 1076 - will bolster California's already-considerable limitations on the use of noncompete agreements.
Following an active legislative session in Colorado, employers in the Centennial State will soon have a range of new compliance obligations to manage in areas including age discrimination, harassment and nondisclosure agreements.
An NLRB ruling that nondisparagement or confidentiality clauses in separation agreements are unlawful if they would restrict or interfere with an employee's labor rights applies retroactively, according to a new General Counsel guidance memo.
The NLRB put the brakes on the use of nondisparagement and confidentiality clauses in separation agreements if they require employees to waive their rights under the National Labor Relations Act.
The Federal Trade Commission estimated that banning noncompete agreements would increase workers' total earnings by $250 to $296 billion per year.
If signed by President Biden as expected, the Speak Out Act will make nondisclosure agreements (NDAs) and nondisparagement contract clauses relating to disputes involving sexual assault and sexual harassment unenforceable by the courts if they were signed before a dispute arose.
The District of Columbia will implement its restrictions against the use of noncompete agreements beginning October 1, following delays to allow for amendments to be enacted.
News: Guidance for HR on the advantages and restrictions related to using restrictive covenants.