Non-compete legislation in Connecticut took a wild ride this year. The Connecticut General Assembly initially considered a bill that would have required all employers using non-competes to provide a ten-day consideration period and would have allowed employees to sue for damages they are denied this opportunity. The legislature ultimately passed a substantially scaled back version that applied only in the context of mergers and acquisitions. To everyone’s surprise, Governor Malloy then vetoed that legislation, saying it was too vague.
Notably, Governor Malloy’s veto announcement stated that “additional protections for employees may be warranted to guarantee a reasonable period of time to review a written noncompete agreement . . . .” He said it would be beneficial for “employers and employees to receive greater clarity from the General Assembly next session.” In other words, while this bill is dead, the concept remains alive and well.
Brody and Associates regularly provides counsel on employment agreements, covenants not to compete, and employment litigation in general. If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.965.0560.
