2023-24 session outcomes: Noncompetes banned

Noncompetes banned: Noncompete and restrictive-franchise provisions in nearly all employee agreements are banned. (both already in effect). The 2024 legislative session went further and banned restrictive employment covenants in service contracts. All of these provisions are already in effect.

Note: The Minnesota Chamber and its partners worked to ensure that a covenant not to compete does not include a nondisclosure agreement, or agreement designed to protect trade secrets or confidential information, a nonsolicitation agreement, or agreement restricting the ability to use client or contact lists, or solicit customers of the employer. In addition, this work ensured a noncompete is still valid and enforceable during the sale of a business or the dissolution of a business. The effective date was also pushed out to July 1, 2023.

WATCH: 2023 Statewide Policy Tour discussion on noncompetes

2023: On-demand webinar: Ban on noncompetes

Speaker Chris Ruska from Nilan Johnson will provide an expert's perspective on the new restrictions around noncompete agreements. The webinar discusses the implications and nuances of a potential ban on these agreements, helping businesses navigate these complex legal changes, while assessing how to protect intellectual property.

This on-demand webinar is for Minnesota Chamber members only. If you wish to become a member or have questions about membership in the Minnesota Chamber, click here. 

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