Washington, D.C., Bans Most Non-Compete Agreements: Steps to Take Now to Protect Your Company
Epstein Becker Green has developed this webcast to
explain the ban and help D.C. employers think through
its possible effect on their policies and practices.
On January 11, 2021, Mayor Muriel Bowser signed the Ban on Non-Compete Agreements Amendment Act of 2020 (D.C. Act 23-563) (the “Act”). Under the Act, all employers with D.C. employees will be prohibited from requiring or requesting that those D.C. employees sign any agreement containing a non-compete provision. Nor may they implement a workplace policy that prohibits an employee from (1) being employed by another person, (2) performing work or services for pay for another person, or (3) operating their own business.
The ban on non-compete agreements and provisions that prohibit simultaneous employment will apply to most employees, with very few exceptions (medical specialists who have completed a medical residency and earn at least $250,000 annually, for example, will be exempt). Although the Act is unlikely to take effect until at least October 2021, D.C. employers should get a head start on preparing for this new employment landscape.
In this webcast, presenters Garen E. Dodge, Nathaniel M. Glasser, and Eric I. Emanuelson, Jr., will identify which employees are covered by the Act, discuss how the ban will impact current non-compete provisions and other restrictive covenants, and provide strategies for employers to protect their company and trade secrets. The presenters also will compare the Act with recently passed non-compete laws in Maryland and Virginia, and discuss the implications of the Act on employers with cross-border operations.
If you have any questions, please reach out to Julie Choudhury.