Assembly Bill A9591

2021-2022 Legislative Session

Prohibits non-compete agreements and certain restrictive covenants

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Assembly Committee


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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Bill Amendments

co-Sponsors

2021-A9591 - Details

Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Add §191-d, Lab L
Versions Introduced in 2023-2024 Legislative Session:
A1278

2021-A9591 - Summary

Prohibits non-compete agreements and certain restrictive covenants; authorizes employees to bring a civil action in a court of competent jurisdiction against any employer or persons alleged to have violated such prohibition.

2021-A9591 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9591
 
                           I N  A S S E M B L Y
 
                              March 17, 2022
                                ___________
 
 Introduced by M. of A. JOYNER -- 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 ANY AGREEMENT, OR CLAUSE CONTAINED
 IN ANY EMPLOYMENT CONTRACT, BETWEEN AN EMPLOYER  AND  AN  EMPLOYEE  THAT
 PROHIBITS  OR  RESTRICTS  SUCH EMPLOYEE FROM OBTAINING EMPLOYMENT, AFTER
 THE CONCLUSION OF EMPLOYMENT WITH THE EMPLOYER INCLUDED AS  A  PARTY  TO
 THE AGREEMENT; AND
   (B)  "COVERED  EMPLOYEE"  MEANS  ANY  OTHER PERSON WHO, WHETHER OR NOT
 EMPLOYED UNDER A CONTRACT OF EMPLOYMENT, PERFORMS WORK OR  SERVICES  FOR
 ANOTHER  PERSON  ON SUCH TERMS AND CONDITIONS THAT THEY ARE, IN RELATION
 TO THAT OTHER PERSON, IN A POSITION OF ECONOMIC DEPENDENCE ON, AND UNDER
 AN OBLIGATION TO PERFORM DUTIES FOR, THAT OTHER PERSON.
   2. NO EMPLOYER OR ITS AGENT, OR THE OFFICER OR  AGENT  OF  ANY  CORPO-
 RATION,  PARTNERSHIP, OR LIMITED LIABILITY COMPANY, SHALL SEEK, REQUIRE,
 DEMAND OR ACCEPT A NON-COMPETE AGREEMENT FROM ANY COVERED EMPLOYEE.
   3. EVERY CONTRACT BY WHICH ANYONE IS RESTRAINED  FROM  ENGAGING  IN  A
 LAWFUL  PROFESSION,  TRADE,  OR  BUSINESS  OF ANY KIND IS TO THAT EXTENT
 VOID. FOR ALL COVERED EMPLOYEES, NO EMPLOYER OR HIS OR HER AGENT, OR THE
 OFFICER OR AGENT OF  ANY  CORPORATION,  PARTNERSHIP,  LIMITED  LIABILITY
 COMPANY,  SHALL  SEEK, REQUIRE, DEMAND OR ACCEPT A NON-COMPETE AGREEMENT
 FROM ANY EMPLOYEE.
   4. (A) A COVERED EMPLOYEE, MAY BRING A CIVIL  ACTION  IN  A  COURT  OF
 COMPETENT  JURISDICTION  AGAINST ANY EMPLOYER OR PERSONS ALLEGED TO HAVE
 VIOLATED THIS SECTION. AN EMPLOYEE SHALL BRING SUCH  ACTION  WITHIN  TWO
 YEARS OF THE LATER OF: (I) WHEN THE PROHIBITED NON-COMPETE AGREEMENT WAS
 SIGNED;  (II)  WHEN  THE  EMPLOYEE  LEARNS OF THE PROHIBITED NON-COMPETE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

co-Sponsors

2021-A9591A (ACTIVE) - Details

Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Add §191-d, Lab L
Versions Introduced in 2023-2024 Legislative Session:
A1278

2021-A9591A (ACTIVE) - Summary

Prohibits non-compete agreements and certain restrictive covenants; authorizes employees to bring a civil action in a court of competent jurisdiction against any employer or persons alleged to have violated such prohibition.

2021-A9591A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  9591--A
 
                           I N  A S S E M B L Y
 
                              March 17, 2022
                                ___________
 
 Introduced  by M. of A. JOYNER, O'DONNELL, SIMON, COLTON, DAVILA -- read
   once and referred to the Committee on Labor --  committee  discharged,
   bill  amended,  ordered  reprinted  as amended and recommitted to said
   committee
 
 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 ANY AGREEMENT, OR  CLAUSE  CONTAINED
 IN  ANY  EMPLOYMENT  CONTRACT,  BETWEEN AN EMPLOYER AND AN EMPLOYEE THAT
 PROHIBITS OR RESTRICTS SUCH EMPLOYEE FROM  OBTAINING  EMPLOYMENT,  AFTER
 THE  CONCLUSION  OF  EMPLOYMENT WITH THE EMPLOYER INCLUDED AS A PARTY TO
 THE AGREEMENT; AND
   (B) "COVERED EMPLOYEE" MEANS ANY OTHER  PERSON  WHO,  WHETHER  OR  NOT
 EMPLOYED  UNDER  A CONTRACT OF EMPLOYMENT, PERFORMS WORK OR SERVICES FOR
 ANOTHER PERSON ON SUCH TERMS AND CONDITIONS THAT THEY ARE,  IN  RELATION
 TO THAT OTHER PERSON, IN A POSITION OF ECONOMIC DEPENDENCE ON, AND UNDER
 AN  OBLIGATION TO PERFORM DUTIES FOR, THAT OTHER PERSON, INCLUDING INDE-
 PENDENT CONTRACTORS.
   2. NO EMPLOYER OR ITS AGENT, OR THE OFFICER OR  AGENT  OF  ANY  CORPO-
 RATION,  PARTNERSHIP, OR LIMITED LIABILITY COMPANY, SHALL SEEK, REQUIRE,
 DEMAND OR ACCEPT A NON-COMPETE AGREEMENT FROM ANY COVERED EMPLOYEE.
   3. EVERY CONTRACT BY WHICH ANYONE IS RESTRAINED  FROM  ENGAGING  IN  A
 LAWFUL  PROFESSION,  TRADE,  OR  BUSINESS  OF ANY KIND IS TO THAT EXTENT
 VOID. FOR ALL COVERED EMPLOYEES, NO EMPLOYER OR HIS OR HER AGENT, OR THE
 OFFICER OR AGENT OF  ANY  CORPORATION,  PARTNERSHIP,  LIMITED  LIABILITY
 COMPANY,  SHALL  SEEK, REQUIRE, DEMAND OR ACCEPT A NON-COMPETE AGREEMENT
 FROM ANY EMPLOYEE.
   4. (A) A COVERED EMPLOYEE, MAY BRING A CIVIL  ACTION  IN  A  COURT  OF
 COMPETENT  JURISDICTION  AGAINST ANY EMPLOYER OR PERSONS ALLEGED TO HAVE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

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