Across The Board: Changes Are In The Works For Noncompete Agreements

From coast to coast, changes are in progress in state laws governing the enforcement of noncompete agreements and the provisions therein. From Oregon, where the circumstances under which courts will enforce noncompete agreements are becoming more narrow, to Connecticut, where certain professions are being largely excluded from the scope of allowable noncompete agreements, state legislatures are taking action to specify when and under what circumstances noncompete agreements will be enforced. Meanwhile, the courts are not sitting idly by. For instance, the Texas Supreme Court recently clarified its stance on the use of forum-selection clauses in noncompete agreements. Employers would be wise to take heed of these changes, evaluate their current use of noncompete provisions, and consult counsel appropriately.