Assembly Actions -
Lowercase Senate Actions - UPPERCASE |
|
---|---|
Jan 03, 2018 |
referred to labor |
Jan 20, 2017 |
referred to labor |
Assembly Bill A2581
2017-2018 Legislative Session
Sponsored By
STECK
Archive: Last Bill Status - In Assembly Committee
- Introduced
-
- In Committee Assembly
- In Committee Senate
-
- On Floor Calendar Assembly
- On Floor Calendar Senate
-
- Passed Assembly
- Passed Senate
- Delivered to Governor
- Signed By Governor
Actions
2017-A2581 (ACTIVE) - Details
2017-A2581 (ACTIVE) - Summary
Relates to the state policy against restraint of trade; certain covenant not to compete unenforceable under certain circumstances; covenants regarding attorneys, whether as employees or independent contractors, are unenforceable in light of the client's right to choose his or her counsel.
2017-A2581 (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 2581 2017-2018 Regular Sessions I N A S S E M B L Y January 20, 2017 ___________ Introduced by M. of A. STECK -- read once and referred to the Committee on Labor AN ACT to amend the labor law, in relation to the state policy against restraint of trade THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The labor law is amended by adding a new article 33 to read as follows: ARTICLE 33 POLICY AGAINST RESTRAINT OF TRADE SECTION 950. POLICY. 951. PARTICULAR RESTRAINTS OF TRADE UNENFORCEABLE. 952. COVENANTS RELATING TO ATTORNEYS. 953. EXCEPTIONS. § 950. POLICY. THE LEGISLATURE HEREBY REAFFIRMS THAT THE POLICY OF THIS STATE IS TO DISFAVOR RESTRICTIVE COVENANTS IN EMPLOYMENT AS CONSTI- TUTING A RESTRAINT OF TRADE. § 951. PARTICULAR RESTRAINTS OF TRADE UNENFORCEABLE. A COVENANT NOT TO COMPETE, OR NON-SOLICITATION AGREEMENT WITH RESPECT TO EITHER EMPLOYEES OR CUSTOMERS, SHALL NOT BE ENFORCEABLE AGAINST A FORMER EMPLOYEE NO LONGER EMPLOYED BY A BUSINESS OR INDEPENDENT CONTRACTOR NO LONGER IN A CONTRACTUAL RELATIONSHIP WITH THE BUSINESS, UNLESS (1) THE COVENANT IS REASONABLE IN GEOGRAPHIC EXTENT OR IN TIME BASED ON THE CIRCUMSTANCES OF THE CASE AND (2) ONE OF THE FOLLOWING IS TRUE: (A) SUCH EMPLOYEE OR INDEPENDENT CONTRACTOR LEFT THE BUSINESS VOLUN- TARILY OR WAS INVOLUNTARILY TERMINATED OR DISCHARGED FOR MISCONDUCT; AND SUCH EMPLOYEE OR INDEPENDENT CONTRACTOR IS UNIQUE AS A MATTER OF LAW. AN EMPLOYEE OR INDEPENDENT CONTRACTOR IS CONSIDERED UNIQUE IF AND ONLY IF HE OR SHE POSSESSES TRADE SECRETS OF THE BUSINESS OR CONFIDENTIAL MATE- RIAL THAT IS AKIN TO A TRADE SECRET. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted.
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