As we reported here last month, on Dec. 15, 2020, a unanimous District of Columbia City Council approved a broad ban on noncompete agreements and “moonlighting” policies that would be among the most restrictive in the nation. On Jan. 11, 2021, Mayor Muriel Bowser signed and approved the Ban on Non-Compete Agreements Amendment Act of 2020. It now will be referred to Congress, where the legislature can disapprove the law within 30 days of the referral, although this is not expected.
Given the strong likelihood that the law will soon be in effect (likely sometime in February), employers in the District should begin preparing for some of the law’s requirements and ensure that any internal policies regarding noncompete agreements are updated to reflect the changing legal landscape. All employers should be cognizant of these requirements, including those employers who do not utilize non-compete agreements. Continue Reading