With the Federal Trade Commission's broad ban on
non-competes enjoined in August 2024 and likely to be abandoned by
the Trump Administration and the Acting General Counsel of the
National Labor Relations Board (NLRB) rescinding Biden-era guidance
finding that non-supervisor non-competes violate the National Labor
Relations Act, efforts to restrict non-competes again will be
focused at the state level.
Broad Prohibition of Non-Competes
Against this backdrop, last month, New York State Sen. Sean Ryan
introduced legislation S4641A that would amend the New York State
Labor Law to add new Section 191-d broadly prohibiting
non-competition agreements. Under the bill, employers and their
agents, and officers or agents of any corporation, partnership, or
limited liability company, would be prohibited from seeking,
requiring, demanding or accepting a non-compete agreement from a
"covered individual" or "health related
professional" after the effective date and