Bill Text: NY S08274 | 2019-2020 | General Assembly | Introduced
Bill Title: Prohibits non-compete agreements; provides that a non-compete agreement is only enforceable if such agreement: is no greater than required for the protection of the legitimate interest of the employer; does not impose an undue hardship on the employee; is not injurious to the public; and is reasonable in time period and geographic scope; makes related provisions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-05-01 - REFERRED TO LABOR [S08274 Detail]
Download: New_York-2019-S08274-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 8274 IN SENATE May 1, 2020 ___________ Introduced by Sen. BIAGGI -- read twice and ordered printed, and when printed to be committed to the Committee on Labor AN ACT to amend the labor law, in relation to prohibiting non-compete agreements The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The labor law is amended by adding a new section 191-d to 2 read as follows: 3 § 191-d. Non-compete agreements. 1. For the purposes of this section, 4 the term: 5 a. "Non-compete agreement" means an agreement, or clause contained in 6 an employment contract, between an employer and an employee that prohib- 7 its or restricts such employee from obtaining employment, after the 8 conclusion of employment with the employer included as a party to the 9 agreement: 10 (i) for a specified period of time; 11 (ii) in any specified geographical area; and/or 12 (iii) with any particular other employer or in any particular indus- 13 try. 14 b. "Undue hardship" includes but, is not limited to, situations where 15 an employee loses or leaves a job due to circumstances surrounding a 16 declared state of emergency or disaster emergency as described in 17 section twenty-four or twenty-eight of the executive law. 18 2. A non-compete agreement is only enforceable if such agreement: 19 (a) is no greater than required for the protection of the legitimate 20 interest of the employer; 21 (b) does not impose an undue hardship on the employee; 22 (c) is not injurious to the public; and 23 (d) is reasonable in time period and geographic scope. 24 If any of the provisions of paragraph (a), (b), (c) or (d) of this 25 subdivision is violated, the non-compete agreement is deemed invalid. 26 § 2. This act shall take effect immediately. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD16251-01-0