Hunton Employment & Labor Perspectives

Massachusetts employers received a meaningful reprieve this month when Governor Maura Healey’s proposal to tighten the Commonwealth’s noncompete statute was dropped from the state’s economic development legislation. 

Courts have repeatedly upheld California’s “strong public policy” prohibiting agreements that restrain individuals from “engaging in a lawful profession, trade, or business of any kind.”  Indeed, under Section 16600 of the California Business and Professions Code, these agreements—generally referred to as noncompete agreements—are generally void.  California now seeks to enshrine additional laws strengthening its prohibition on noncompete agreements.