July 3, 2022

Volume XII, Number 184

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July 01, 2022

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June 30, 2022

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D.C.’s Non-Compete Law Poised To Be Delayed Until October 1, 2022

The District of Columbia’s ban on non-compete agreements is delayed again. As we previously reported, the DC Government enacted The Ban on Non-Compete Agreements Amendment Act (the “Act”) in January 2021, which creates one of the most comprehensive non-compete bans in the country. The Act generally prohibits all non-competes in the District, subject to very narrow exceptions, including significant limits on employers’ ability to prohibit simultaneous employment. The Act became law in March 2021, but its restrictions were tied to an “applicability date” that left uncertainty about when the Act would take effect. In May 2021, Councilmember Elissa Silverman proposed Bill 24-256, the Non-Compete Conflict of Interest Clarification Act of 2022, which would amend the Act. In August 2021, Mayor Bowser signed legislation amending the Act so that its “applicability date” would be April 1, 2022. It was expected that the Act would be amended to address concerns about how the Act applies to employers’ conflict of interest and ethics policies. But, with the Act poised to become fully effective, there had been no movement on Bill 24-256 or any other reform initiatives.

On March 1, 2022, the DC Council gave employers a little relief by passing an amendment that would delay the Act’s applicability to October 1, 2022. All but one Councilmember voted yes in favor of the postponement, which will now be sent to the Mayor, who is expected to sign it. This delay will hopefully provide sufficient time for the Council to consider amendments to the Act before it goes into effect.

© 2022 Proskauer Rose LLP. National Law Review, Volume XII, Number 61
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About this Author

Guy Brenner, Labor Attorney, Proskauer Rose, arbitration proceedings Lawyer
Partner

Guy Brenner is a partner in the Labor & Employment Law Department and co-head of the Non-Compete & Trade Secrets Group. He has extensive experience representing employers in both single-plaintiff and class action matters, as well as in arbitration proceedings. He also regularly assists federal government contractors with the many special employment-related compliance challenges they face.

Guy represents employers in all aspects of employment and labor litigation and counseling, with an emphasis on non-compete and trade secrets issues,...

202-416-6830
Daryl Leon, Proskauer Law Firm, Labor and Employment Litigation Attorney
Associate

Daryl Leon is an associate in the Labor & Employment Law Department and a member of the Firm's Employment Litigation & Arbitration Group.

Daryl has experience in managing all aspects of litigation, including taking and defending depositions, motion practice, oral arguments, and trials. His practice focuses on defending employers in state and federal court lawsuits and administrative agency proceedings against claims of discrimination, harassment, whistleblowing and retaliation, and violations of wage and hour laws. He has represented...

212-969-3262
Associate

Sydney Cone earned her J.D. from Tulane University Law School, where she was the Senior Online Editor of the Tulane Maritime Law Journal and co-president of Tulane Women in the Law.

Prior to law school, Sydney was a paralegal for Lankler, Siffert, and Wohl, LLP, focusing on white collar criminal and civil litigation.

504.310.3043
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