Despite past failures, including the defeat of bills proposed by former Governor Deval Patrick in 2014, the Massachusetts Legislature is again taking up the idea of banning noncompetition agreements in the Commonwealth. Several proposals were submitted at the start of the new session in 2015. Given proponents’ track record, success this year seems unlikely.
One proposal would apply prospectively to ban the enforcement of new agreements that block employees from working for competitors. The bill would not, however, prevent employers from otherwise restricting the activities of their former employees in important areas. These include the solicitation of employees, independent contractors and, perhaps most importantly, customers. The proposal would also exempt non-competes that derive from business sales or other non-working relationships.
Competing bills were also filed, as were several bills regarding trade secrets.