Senate Bill S3100A

Vetoed By Governor
2023-2024 Legislative Session

Prohibits non-compete agreements and certain restrictive covenants

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Sponsored By

Current Bill Status - Vetoed by Governor


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

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Bill Amendments

co-Sponsors

2023-S3100 - Details

See Assembly Version of this Bill:
A1278
Law Section:
Labor Law
Laws Affected:
Add §191-d, Lab L
Versions Introduced in 2021-2022 Legislative Session:
S6425, A9591

2023-S3100 - Summary

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

2023-S3100 - Sponsor Memo

2023-S3100 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3100
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             January 27, 2023
                                ___________
 
 Introduced  by  Sen.  RYAN  --  read twice and ordered printed, and when
   printed to be committed 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  AGREEMENT,  BETWEEN  AN  EMPLOYER AND A COVERED INDIVIDUAL THAT
 PROHIBITS OR RESTRICTS SUCH COVERED INDIVIDUAL  FROM  OBTAINING  EMPLOY-
 MENT, AFTER THE CONCLUSION OF EMPLOYMENT WITH THE EMPLOYER INCLUDED AS A
 PARTY TO THE AGREEMENT; AND
   (B)  "COVERED  INDIVIDUAL"  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,  LIMITED LIABILITY COMPANY, OR OTHER ENTITY, SHALL
 SEEK, REQUIRE, DEMAND OR ACCEPT A NON-COMPETE AGREEMENT FROM ANY COVERED
 INDIVIDUAL.
   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 INDIVIDUALS, NO EMPLOYER  OR  ITS  AGENT,  OR  THE
 OFFICER  OR  AGENT  OF  ANY  CORPORATION, PARTNERSHIP, LIMITED LIABILITY
 COMPANY, OR OTHER ENTITY SHALL SEEK, REQUIRE, DEMAND OR  ACCEPT  A  NON-
 COMPETE AGREEMENT FROM ANY COVERED INDIVIDUAL.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05912-01-3
 S. 3100                             2
              

co-Sponsors

2023-S3100A (ACTIVE) - Details

See Assembly Version of this Bill:
A1278
Law Section:
Labor Law
Laws Affected:
Add §191-d, Lab L
Versions Introduced in 2021-2022 Legislative Session:
S6425, A9591

2023-S3100A (ACTIVE) - Summary

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

2023-S3100A (ACTIVE) - Sponsor Memo

2023-S3100A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3100--A
     Cal. No. 1335
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             January 27, 2023
                                ___________
 
 Introduced  by  Sens.  RYAN,  JACKSON,  MAYER  -- read twice and ordered
   printed, and when printed to be committed to the Committee on Labor --
   reported favorably from said committee, ordered to  first  and  second
   report,  ordered  to  a  third reading, amended and ordered reprinted,
   retaining its place in the order of third reading
 
 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  AGREEMENT,  BETWEEN  AN  EMPLOYER AND A COVERED INDIVIDUAL THAT
 PROHIBITS OR RESTRICTS SUCH COVERED INDIVIDUAL  FROM  OBTAINING  EMPLOY-
 MENT, AFTER THE CONCLUSION OF EMPLOYMENT WITH THE EMPLOYER INCLUDED AS A
 PARTY TO THE AGREEMENT; AND
   (B)  "COVERED  INDIVIDUAL"  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,  LIMITED LIABILITY COMPANY, OR OTHER ENTITY, SHALL
 SEEK, REQUIRE, DEMAND OR ACCEPT A NON-COMPETE AGREEMENT FROM ANY COVERED
 INDIVIDUAL.
   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 INDIVIDUALS, NO EMPLOYER  OR  ITS  AGENT,  OR  THE
 OFFICER  OR  AGENT  OF  ANY  CORPORATION, PARTNERSHIP, LIMITED LIABILITY
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

Comments

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Michael_Ojaste
3 months ago

My friend had to leave the state to get work after he couldn’t get a job locally because of a non-compete. It’s a horrible practice. If a business wants to keep talented treat them better instead of holding them hostage.

jorjessone
2 weeks ago

You absolutely need to ban these they are destroying people's lives.Emplpyers use them as THREATS . I am a licensed skin care therapist. I simply will not Sin 1 of these. They are so un-american and against competition which is ridiculous. I have the right like any other human being to compete with my former employer. Or anyone else that I choose to after? I leave that place of employment. This gives way too much power over the worker from the employer. And it should never exist nothing even like it should exist. Employers should treat they're employees with more respect. And maybe that's when they'll just stay because they're being treated properly and paid properly. I cannot stress to you and not how I want this to be banned. It has many times destroyed my life and may be have to rebuild again!!! PASS IT NOW! My employer knew that it might be past soon and had the nerve to hand me one a couple of days ago and I had to resign from my work. And now I have no recourse whatsoever. I can't even get unemployment. It's disgusting change it in fact don't change it completely get rid of it! Thank you

jorjessone
2 weeks ago

You need to make this bill much broader. They should not be allowed to tell you that you can't take clients that you took at their place of business in your new place of business. It's a free market if a client wants to come to you after you've left their place of business as long as you haven't specifically solicited them by calling them, There is way too much broadness in this bill. And it's going to still give a lot of rights too employers to hold employees hostage. And not allow them to open businesses work in the free market in the service industry. Such as I am in skin care. And for example, massage therapists, we are slaves to these people because of all of these provisions. No other job, can you not go and let you earn clients know where you're going It's a free market if you want your clients to stay with you, then treat them accordingly. That's how competition works. The whole thing needs to be scrapped. No one could have or should have any hold. On any other human beings right to do anything. As far as business goes it's absolutely disgusting. Perhaps in matters of invention and things like that I get it or Giant CEO's in company's or engineers that no secrets. But when you're talking about a hand in Stone or a massage envy? And they're stopping people from opening businesses with this nonsense. Competing with them for the same clientele. In the same neighborhood, that's the way it's done too bad. It shouldn't be allowed AT ALL For any employee making less than $200,000 a year ! My industry is never mentioned in any of these laws. Because you people don't even know how our industry works. And how much these people get away with there needs to be many other laws put in place as well. And the ones that are put in place need to stop being broken and you need to start sending out inspectors to these places. They are not following labor laws properly . Many of them are not.

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