On June 20, 2023, the New York State Legislature passed a bill, which would have banned the creation and enforcement of non-compete clauses in agreements with covered individuals. After intense lobbying by New York’s business community and failed attempts by Governor Hochul to have the legislature modify the bill, Governor Hochul recently vetoed the bill. If signed, New York employers would have been prohibited from enforcing non-competition agreements signed after the law took effect. This legislation came on the heels of other states enacting restrictions on non-competes and the federal government proposing a nationwide ban on non-competes. This will not likely be the end of non-compete legislation in New York.

Click here to read the full MSF Client Alert.

Please contact an attorney in MSF’s Employment Group if you need assistance with respect to this information.

Andrea B. Neuman
Partner | Chair, Employment
(212) 655-3513 | abn@msf-law.com

 

*Gregg M. Kilman, Samantha Frenchman (previous MSF Employment Attorneys) and MSF Summer Associate Jordan Biener (J.D. Candidate 2024 at St. John’s University School of Law) contributed to the initial publication of this Client Alert in June 2023.