Employer Bulletin March 2024

This Bulletin is part of an ongoing series by Kraeber Law Office to provide helpful hints about developments in the law that could be relevant to your business.

DID YOU KNOW?

NON-COMPETES – California has recently revised the law regarding non-compete clauses.

Non-competes: A contract that prevents an employee from working for a competitor or starting a competing business for a certain period after leaving their current employment.

Non-compete clauses have been unlawful and unenforceable in California for many years with very few exceptions.

What’s different: Effective January 1, 2024, employees are now allowed to sue their employer (or former employer) for requiring them to enter into or attempting to enforce non-competes.

Also important: By February 14, 2024, employers must have notified all employees (past or present) employed since January 1, 2022 that any non-competes they signed are void. Failure to do so may result in civil action against the employer with penalties up to $2,500 plus reimbursement of attorneys’ fees and expenses.

If any of your employees or former employees signed a non-compete, please contact us.

Rhonda Kraeber