Hill, Farrer & Burrill LLP

SB 699: New California Law Further Restricting The Use of Non-Competes

HILL, FARRER & BURRILL LLP

Labor & Employment Update

SB 699: New California Law Further Restricting The Use of Non-Competes

September 12, 2023

By Elissa L. Gysi and Shelby Y. Meskin

Governor Gavin Newsom recently signed Senate Bill (SB) 699 into law which further restricts the use of non-compete clauses in employment agreements in California.  The law goes into effect on January 1, 2024.

Most non-compete agreements have long been unenforceable in California under Section 16600 of the California Business and Professions Code (“every contract by which anyone is restrained from engaging in a lawful profession, trade, or business of any kind is to that extent void”). Read more→