On September 1, 2023, Governor Newsom signed SB 699 into law that adds additional prohibitions on employer’s use of non-competition agreements and another restrictive covenants. This legislation has several key components that employers both within and outside California should be keenly aware of:
1. Implementation Date: The law will take effect from January 1, 2024.
Employers considering implementing noncompetition and nonsolicitation agreements for their California workforce must understand the differences in these agreements, and California’s public policy against restraints against an employee’s ability to work in their profession or trade. This Friday’s Five covers the top five issues employers must know about noncompetition and nonsolicitation agreements in California.
1. Noncompetition
Employers considering implementing noncompetition and nonsolicitation agreements for their California workforce must understand the differences in these agreements, and California’s public policy against restraints against an employee’s ability to work in their profession or trade. This Friday’s Five covers the top five issues employers must know about noncompetition and nonsolicitation agreements in California.
1. Noncompetition