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California Restricts Non-Compete Agreements

by | Feb 5, 2024 |

By David Gabor

Over the years, California has taken steps to prevent employers from forcing employees to enter into non-compete agreements that limit an employee’s ability to obtain subsequent employment.

Effective January 1, 2024, California has expanded that protection. Absent limited exceptions, employers are barred from entering into or enforcing non-compete agreements. This protection extends to current and former employees.

Additionally, employers must provide notice by February 14, 2024, to current and former employees who have non-compete agreements, which do not fall under those limited exceptions, that their agreements are void. The notice must be sent by hard copy and by email.

As a result, take steps to determine whether current or former employees who work in California have non-compete agreements. If they do have non-compete agreements that are still in effect and do not fall under an exception, employers should send the notice in a timely manner.

David Gabor and attorneys on The Wagner Law Group’s Employment Law and Human Resources Team are available to help you navigate this new law.