A recent report issued by the Trade Secrets Committee of the New York City Bar recommends that New York State’s legislature adopt statutory guidelines governing the use of non-compete agreements for lower-salary employees.
As explained in the report, statutory limitations on the use of non-compete agreements have been a hot issue in many states and even at the federal level in recent years. New York currently has no statutory law generally concerning trade secrets or non-compete agreements. The report advocates a limited change to New York’s unique status as a common law jurisdiction, namely, “enactment of a statute to regulate the use of non-compete agreements as applied to lower-salary employees in order to ensure equity and fairness in employment markets while preserving New York’s traditional role as the nation’s commercial leader.” The report is well worth a read.
- Member of the Firm