assembly Bill A2147A

2015-2016 Legislative Session

Relates to the state policy against restraint of trade

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Archive: Last Bill Status - In Assembly Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

view actions (6)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
May 11, 2016 print number 2147b
May 11, 2016 amend and recommit to labor
Feb 08, 2016 print number 2147a
Feb 08, 2016 amend and recommit to labor
Jan 06, 2016 referred to labor
Jan 15, 2015 referred to labor

Co-Sponsors

Multi-Sponsors

A2147 (ACTIVE) - Details

See Senate Version of this Bill:
S4447
Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Add Art 33 §§950 - 952, Lab L
Versions Introduced in Other Legislative Sessions:
2013-2014: A8409, S7361
2017-2018: A2581, S1589

A2147 (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.

A2147 (ACTIVE) - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2147

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 15, 2015
                               ___________

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 32 to read
as follows:

                               ARTICLE 32
                    POLICY AGAINST RESTRAINT OF TRADE
SECTION 930. POLICY.
        931. PARTICULAR RESTRAINTS OF TRADE UNENFORCEABLE.
        932. EXCEPTIONS.
  S 930. 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.
  S 931. 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.
                                                           LBD06922-01-5

Co-Sponsors

Multi-Sponsors

A2147A (ACTIVE) - Details

See Senate Version of this Bill:
S4447
Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Add Art 33 §§950 - 952, Lab L
Versions Introduced in Other Legislative Sessions:
2013-2014: A8409, S7361
2017-2018: A2581, S1589

A2147A (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.

A2147A (ACTIVE) - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2147--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 15, 2015
                               ___________

Introduced  by M. of A. STECK, GOTTFRIED, FINCH, NOJAY, BRINDISI, ARROYO
  -- Multi-Sponsored by -- M. of A. McLAUGHLIN,  SCHIMEL,  SEAWRIGHT  --
  read once and referred to the Committee on Labor -- recommitted to the
  Committee  on  Labor  in  accordance  with  Assembly Rule 3, sec. 2 --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted to said committee

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. EXCEPTIONS.
  S  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.
  S 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

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06922-03-6

Co-Sponsors

Multi-Sponsors

A2147B (ACTIVE) - Details

See Senate Version of this Bill:
S4447
Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Add Art 33 §§950 - 952, Lab L
Versions Introduced in Other Legislative Sessions:
2013-2014: A8409, S7361
2017-2018: A2581, S1589

A2147B (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.

A2147B (ACTIVE) - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2147--B

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 15, 2015
                               ___________

Introduced  by M. of A. STECK, GOTTFRIED, FINCH, NOJAY, BRINDISI, ARROYO
  -- Multi-Sponsored by -- M. of A. McLAUGHLIN,  SCHIMEL,  SEAWRIGHT  --
  read once and referred to the Committee on Labor -- recommitted to the
  Committee  on  Labor  in  accordance  with  Assembly Rule 3, sec. 2 --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted  to  said  committee -- again reported from said committee
  with amendments, ordered reprinted as amended and recommitted to  said
  committee

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.
  S  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.
  S 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:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06922-04-6

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