Virginia Senate Bill 480 (Prior Session Legislation)

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Completed Legislative Action
Spectrum: Bipartisan Bill
Status: Passed on April 9 2020 - 100% progression
Action: 2020-04-09 - Governor: Acts of Assembly Chapter text (CHAP0949)
Text: Latest bill text (Chaptered) [HTML]

Covenants not to compete; low-wage employees; civil penalty. Prohibits an employer from entering into, enforcing, or threatening to enforce a covenant not to compete between the employer and a low-wage employee. The employer is subject to a civil penalty of $10,000 per violation. The bill defines "low-wage employee" as either (i) an employee, intern, student, apprentice, or trainee whose average weekly earnings are less than the average weekly wage of the Commonwealth or who is employed without pay or (ii) an independent contractor who is compensated for his services at an hourly rate that is less than the median hourly wage for the Commonwealth for all occupations as reported by the Bureau of Labor Statistics of the U.S. Department of Labor. The bill defines "covenant not to compete" as an agreement that restrains, prohibits, or otherwise restricts an individual's ability to compete with his former employer. The bill allows any low-wage employee subject to such a covenant not to compete to bring a civil action against an employer and seek appropriate relief, including enjoining the conduct of any person or employer, ordering payment of liquidated damages, and awarding lost compensation, damages, and reasonable attorney fees and costs. The bill provides that if the court finds a violation of the bill's provisions, the plaintiff is entitled to recover reasonable costs, including reasonable fees for expert witnesses, and attorney fees from the former employer or other person who attempts to enforce a covenant not to compete against such plaintiff. The bill requires all employers to post in the workplace a notice of the prohibition or a summary of the notice approved by the Department of Labor and Industry and provides that an employer is subject to a warning for a first offense and to a civil penalty for a subsequent offense for failure to post such notice or approved summary. The provisions of the bill are applicable to covenants not to compete entered into on or after July 1, 2020.

Employment; covenants not to compete, definition of low-wage employees, civil penalty.

Sen. Bill DeSteph [R]

Sen. Joseph Morrissey [D]

2020-03-07 - Senate - Senate: Conference report agreed to by Senate (34-Y 6-N) (Y: 34 N: 6 NV: 0 Abs: 0) [PASS]
2020-03-04 - House - House: VOTE: Agree To (74-Y 20-N) (Y: 74 N: 20 NV: 6 Abs: 0) [PASS]
2020-03-02 - Senate - Senate: Senate acceded to request (40-Y 0-N) (Y: 40 N: 0 NV: 0 Abs: 0) [PASS]
2020-02-26 - Senate - Senate: House substitute rejected by Senate (0-Y 40-N) (Y: 0 N: 40 NV: 0 Abs: 0) [FAIL]
2020-02-24 - House - House: VOTE: Passage (80-Y 19-N) (Y: 80 N: 19 NV: 1 Abs: 0) [PASS]
2020-02-18 - House - House: Reported from Labor and Commerce with substitute (19-Y 0-N) (Y: 19 N: 0 NV: 3 Abs: 0) [PASS]
2020-02-03 - Senate - Senate: Passed Senate (34-Y 6-N) (Y: 34 N: 6 NV: 0 Abs: 0) [PASS]
2020-02-03 - Senate - Senate: Constitutional reading dispensed (39-Y 1-N) (Y: 39 N: 1 NV: 0 Abs: 0) [PASS]
2020-02-03 - Senate - Senate: Engrossment reconsidered by Senate (39-Y 0-N) (Y: 39 N: 0 NV: 1 Abs: 0) [PASS]
2020-01-29 - Senate - Senate: Constitutional reading dispensed (40-Y 0-N) (Y: 40 N: 0 NV: 0 Abs: 0) [PASS]
2020-01-27 - Senate - Senate: Reported from Commerce and Labor (14-Y 1-N) (Y: 14 N: 1 NV: 0 Abs: 0) [PASS]

Date	Chamber	Action
2020-04-09		Governor: Acts of Assembly Chapter text (CHAP0949)
2020-04-09		Governor: Approved by Governor-Chapter 949 (effective 7/1/20)
2020-03-20		Governor: Governor's Action Deadline 11:59 p.m., April 11, 2020
2020-03-20	Senate	Enrolled Bill Communicated to Governor on March 20, 2020
2020-03-19	House	Signed by Speaker
2020-03-18	Senate	Signed by President
2020-03-18	Senate	Bill text as passed Senate and House (SB480ER)
2020-03-18	Senate	Enrolled
2020-03-07	Senate	Conference report agreed to by Senate (34-Y 6-N)
2020-03-04	House	VOTE: Agree To (74-Y 20-N)
2020-03-04	House	Conference report agreed to by House (74-Y 20-N)
2020-03-04	Senate	Conference substitute printed 20109575D-S1
2020-03-04		Conference: Amended by conference committee
2020-03-03	House	Delegates: VanValkenburg, Gooditis, Marshall
2020-03-03	House	Conferees appointed by House
2020-03-02	Senate	Senators: DeSteph, Spruill, Bell
2020-03-02	Senate	Conferees appointed by Senate
2020-03-02	Senate	Senate acceded to request (40-Y 0-N)
2020-02-27	House	House requested conference committee
2020-02-27	House	House insisted on substitute
2020-02-26	Senate	House substitute rejected by Senate (0-Y 40-N)
2020-02-24	House	VOTE: Passage (80-Y 19-N)
2020-02-24	House	Passed House with substitute (80-Y 19-N)
2020-02-24	House	Engrossed by House - committee substitute SB480H1
2020-02-24	House	Committee substitute agreed to 20108594D-H1
2020-02-24	House	Read third time
2020-02-21	House	Passed by for the day
2020-02-20	House	Passed by for the day
2020-02-18	House	Committee substitute printed 20108594D-H1
2020-02-18	House	Reported from Labor and Commerce with substitute (19-Y 0-N)
2020-02-13	House	Referred to Committee on Labor and Commerce
2020-02-13	House	Read first time
2020-02-13	House	Placed on Calendar
2020-02-03	Senate	Passed Senate (34-Y 6-N)
2020-02-03	Senate	Constitutional reading dispensed (39-Y 1-N)
2020-02-03	Senate	Printed as engrossed 20103725D-E
2020-02-03	Senate	Engrossed by Senate as amended SB480E
2020-02-03	Senate	Amendment by Senator Petersen agreed to
2020-02-03	Senate	Reading of amendment waived
2020-02-03	Senate	Engrossment reconsidered by Senate (39-Y 0-N)
2020-01-31	Senate	Passed by for the day
2020-01-30	Senate	Read second time and engrossed
2020-01-29	Senate	Constitutional reading dispensed (40-Y 0-N)
2020-01-27	Senate	Reported from Commerce and Labor (14-Y 1-N)
2020-01-07	Senate	Referred to Committee on Commerce and Labor
2020-01-07	Senate	Prefiled and ordered printed; offered 01/08/20 20103725D

HB330 (Same As) 2020-04-09 - Governor: Acts of Assembly Chapter text (CHAP0948)

Chapter	Article	Section	Citation Type	Statute Text
40	1	28.7:7	(n/a)	See Bill Text

Type	Source
Summary	https://lis.virginia.gov/cgi-bin/legp604.exe?201+sum+SB480
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+SB480+hil
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+SB480E+hil
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+SB480H1+hil
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+SB480S1+hil
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+SB480ER+hil
Text	https://lis.virginia.gov/cgi-bin/legp604.exe?201+ful+CHAP0949+hil
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+S02V0046+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV0232SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV0262SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV0263SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV0264SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+H14V0283+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+HV1288+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV1004SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV1363SB0480+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+HV1769+SB0480
Roll Call	https://lis.virginia.gov/cgi-bin/legp604.exe?201+vot+SV1771SB0480+SB0480