Democratic legislators in the Wisconsin Legislature have introduced a new bill that proposes a near-total ban on noncompete agreements. These often controversial agreements, typically used by employers to restrict employees from engaging in similar work in a specific geographical area after leaving their current employment, could face significant limits if the bill is passed.
This proposed legislation, however, does not completely eliminate all protective business measures. Employers would still hold the right to utilize nondisclosure agreements in order to protect their confidential business information. Additionally, the limitations on former employees’ use of customer lists and intellectual property would also continue to be enforceable.
The bill, however, faces challenging odds given the current makeup of the Wisconsin Legislature. Despite enthusiasm from its sponsors, the chances of ratification seem slim. This is largely due to the political dynamics within the state legislature, where opposition is likely to hinder its advancement.
For more detailed and legal-specific insights about this forthcoming bill, see the complete report published by Husch Blackwell LLP.