 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10511
 
                   IN ASSEMBLY
 
                                      May 22, 2020
                                       ___________
 
        Introduced  by  COMMITTEE  ON RULES -- (at request of M. of A. Reyes) --
          read once and referred to the Committee on Labor
 
        AN ACT to amend the labor law, in relation  to  prohibiting  non-compete
          agreements
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. The labor law is amended by adding a new section  191-d  to
     2  read as follows:
     3    §  191-d. Non-compete agreements. 1. For the purposes of this section,
     4  the term:
     5    a. "Non-compete agreement" means an agreement, or clause contained  in
     6  an employment contract, between an employer and an employee that prohib-
     7  its  or  restricts  such  employee  from obtaining employment, after the
     8  conclusion of employment with the employer included as a  party  to  the
     9  agreement:
    10    (i) for a specified period of time;
    11    (ii) in any specified geographical area; and/or
    12    (iii)  with  any particular other employer or in any particular indus-
    13  try.
    14    b. "Undue hardship" includes but, is not limited to, situations  where
    15  an  employee  loses  or  leaves a job due to circumstances surrounding a
    16  declared state of  emergency  or  disaster  emergency  as  described  in
    17  section twenty-four or twenty-eight of the executive law.
    18    2. A non-compete agreement is only enforceable if such agreement:
    19    (a)  is  no greater than required for the protection of the legitimate
    20  interest of the employer;
    21    (b) does not impose an undue hardship on the employee;
    22    (c) is not injurious to the public; and
    23    (d) is reasonable in time period and geographic scope.
    24    If any of the provisions of paragraph (a), (b), (c)  or  (d)  of  this
    25  subdivision is violated, the non-compete agreement is deemed invalid.
    26    § 2. This act shall take effect immediately.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD16251-01-0
Prohibits non-compete agreements

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