New Washington Legislation Affecting Noncompetition Agreements
Posted May 8, 2019
By the Lawyers at Beresford Booth
Effective January 1, 2020, this new law will prohibit all noncompetition agreements for employees whose W-2 earnings are less than $100,000 annually, and for independent contractors paid less than $250,000 per year. The legislation states that those amounts will be adjusted annually for inflation, just one aspect of this law which could pose a headache for employers. Another headache might be created if an employee’s compensation changes during the period of his employment, falling below or rising above the mark of enforceability.
Noncompetition agreements with restrictive periods longer than 18 months are presumed unreasonable. That is, unless the employee is a...Read More