assembly Bill A7193

2019-2020 Legislative Session

Prohibits non-compete agreements and certain restrictive covenants

download bill text pdf

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Current Bill Status - On Floor Calendar


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

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Actions

view actions (5)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 08, 2020 ordered to third reading cal.260
May 09, 2019 advanced to third reading cal.309
May 07, 2019 reported
Apr 30, 2019 reported referred to codes
Apr 11, 2019 referred to labor

Co-Sponsors

A7193 (ACTIVE) - Details

See Senate Version of this Bill:
S5790
Law Section:
Labor Law
Laws Affected:
Add §191-d, Lab L
Versions Introduced in 2017-2018 Legislative Session:
A7864

A7193 (ACTIVE) - Summary

Prohibits non-compete agreements and certain restrictive covenants which unreasonably and unfairly bar or inhibit post-employment competition and protects certain workers from inappropriate and unnecessary restrictions on future employment.

A7193 (ACTIVE) - Bill Text download pdf


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

                                  7193

                       2019-2020 Regular Sessions

                          I N  A S S E M B L Y

                             April 11, 2019
                               ___________

Introduced  by M. of A. DINOWITZ, CRESPO, TITUS, STECK -- (at request of
  the Department of Law) -- read once and referred to the  Committee  on
  Labor

AN  ACT  to  amend the labor law, in relation to prohibiting non-compete
  agreements and certain restrictive covenants

  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 section 191-d to
read as follows:
  § 191-D. NON-COMPETE AGREEMENTS. 1. FOR THE PURPOSES OF THIS  SECTION,
THE TERM:
  A.  "NON-COMPETE AGREEMENT" MEANS AN AGREEMENT, OR CLAUSE CONTAINED IN
AN EMPLOYMENT CONTRACT, BETWEEN AN EMPLOYER AND AN EMPLOYEE THAT PROHIB-
ITS OR RESTRICTS SUCH EMPLOYEE  FROM  OBTAINING  EMPLOYMENT,  AFTER  THE
CONCLUSION  OF  EMPLOYMENT  WITH THE EMPLOYER INCLUDED AS A PARTY TO THE
AGREEMENT:
  (I) FOR A SPECIFIED PERIOD OF TIME;
  (II) IN ANY SPECIFIED GEOGRAPHICAL AREA; AND/OR
  (III) WITH ANY PARTICULAR OTHER EMPLOYER OR IN ANY  PARTICULAR  INDUS-
TRY.
  B.  "COVERED EMPLOYEE" MEANS ANY EMPLOYEE WHOSE EARNINGS ARE LESS THAN
SEVENTY-FIVE THOUSAND DOLLARS ANNUALLY. THIS THRESHOLD SHALL BE ANNUALLY
INCREASED, WHERE WARRANTED BY APPLICATION OF THE BELOW-DESCRIBED  FORMU-
LA,  PURSUANT  TO  A  PERCENTAGE  TO  BE  DETERMINED BY REFERENCE TO THE
CONSUMER PRICE INDEX, PUBLISHED BY THE UNITED  STATES  BUREAU  OF  LABOR
STATISTICS,  FOR  THE  APPLICABLE  CALENDAR  YEAR. SAID PERCENTAGE SHALL
EQUAL FIFTY PERCENT OF THE ANNUAL  INFLATION,  AS  DETERMINED  FROM  THE
INCREASE  IN  THE  CONSUMER PRICE INDEX IN THE ONE-YEAR PERIOD ENDING ON
MARCH THIRTY-FIRST PRIOR TO THE COST-OF-LIVING ADJUSTMENT  EFFECTIVE  ON
THE ENSUING SEPTEMBER FIRST. SAID PERCENTAGE SHALL THEN BE ROUNDED UP TO
THE  NEXT  HIGHER  ONE-TENTH  OF  ONE PERCENT AND SHALL NOT EXCEED THREE

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