Several States are Increasing Penalties for Enforcing Non-Compete Agreements

As non-competition laws and the scrutiny of non-compete agreements continue to be in the spotlight, several states are revisiting their non-compete laws.  Colorado has been in the spotlight after the Colorado Legislature passed S.B. 21-271 on July 6, 2021 in an effort to reform the sentencing provisions related to numerous petty offenses and misdemeanors. As a result, several Colorado laws related to labor and employment are affected, including Colorado’s statute addressing restrictive covenant agreements, C.R.S. § 8-2-113.

Under C.R.S. § 8-2-113, it is unlawful to: intimidate workers in order to limit their ability to engage in lawful work; and enter into covenants that restrict trade, such as non-compete and non-solicitation agreements, unless the covenants fit within limited exceptions provided under the statute. The penalty if convicted for violating the non-compete statute is currently a misdemeanor punishable by a fine between $10–$250, or jail time of not more than 60 days, or both. C.R.S. § 8-2-115.   Effective March 1, 2022, the penalty for violating the non-compete statute will be increased to a class 2 misdemeanor punishable by up to 120 days in jail, or a fine of up to $750, or both, as a result of the changes from S.B. 21-271.  S.B. 21-271 also amends the text of C.R.S. § 8-2-113 to include the increased penalty as a new subsection (4).

Continue reading “Several States are Increasing Penalties for Enforcing Non-Compete Agreements”

New EEOC Guidance Addresses Faith-Based Vaccine Exemptions

As COVID-19 vaccine mandates by employers become more common, so do requests for exemptions. Requests for religious exemptions from COVID-19 vaccine mandates have forced many employers to make difficult decisions regarding the validity of the accommodation requests as well as whether and how to reasonably accommodate legitimate requests — while also meeting the obligation to maintain a safe and healthy workplace. Yesterday, the EEOC issued new guidance providing helpful insight regarding an employer’s obligation to grant requests for religious exemptions to COVID-19 vaccine mandates.

Continue reading “New EEOC Guidance Addresses Faith-Based Vaccine Exemptions”

Minnesota Supreme Court: Standard for Workplace Sexual Harassment Should Reflect Today’s ‘Societal Attitudes’

On Wednesday, June 3, the Minnesota Supreme Court upheld the “severe or pervasive” standard used in workplace sexual harassment cases. But in doing so, it held that lower courts interpreting the standard must consider today’s definition of appropriate workplace conduct.

For the full alert, visit the Faegre Drinker website.