Webinar Recap! Overview of Non-Compete Legislation and Enforcement Issues from 2022 | Seyfarth Shaw

In the final 2022 webinar, Seyfarth attorneys Kate Perrelli, Dan Hart, and Dallin Wilson discussed new and pending legislation and enforcement issues for non-competes.

As a conclusion to this webinar, we compiled a summary of takeaways:

  • The state law on restrictive covenant agreements continues to evolve, with more states imposing compensation thresholds, notice requirements, penalties, and other obligations on employers that make enforcement of restrictive covenants more difficult. Significant changes went into effect in 2022 in Colorado, the District of Columbia, Illinois, and Oregon, with additional states likely to make significant changes in 2023.
  • Increased federal attention to restrictive covenants, including attention from the FTC and possible federal legislation, places additional risks on employers.
  • Strategies for rolling out and enforcing restrictive covenants should be carefully considered at the time of drafting. Penalties, fee shifting provisions, and putative employee class actions add to the risks that employers face.
  • Employers should revise their template agreements now if they have not been updated in the past year.

You can view a recording of the webinar and all other webinars in our Trade Secrets Webinar Series here.

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