SSB 5935: Concerning noncompetition covenants.
Signed into law: Chapter 36, Laws of 2024
- Sponsor
- Stanford
- Introduced
- January 8, 2024
- Status
- C 36 L 24
- Last action
- Effective date 6/6/2024. (March 13, 2024)
- As of
- August 18, 2026, 2:03 AM Pacific, from the Legislature’s records
What this bill does
Amends the definition of "noncompetition covenant" to: (1) include agreements that directly or indirectly prohibit the acceptance or transaction of business with a customer; and (2) exclude covenants where the person signing the covenant purchases, sells, acquires, or disposes of an interest representing one percent or more of the business. Makes changes related to: (1) circumstances under which noncompetition covenants are void and unenforceable; (2) causes of action by aggrieved persons; (3) displacement of other laws; and (4) statutory construction.
From the Washington State Legislature's nonpartisan staff bill analysis. Read the full analysis ↗
Floor votes
- House: 3rd Reading & Final Passage · February 22, 202455 yea · 38 nay · 5 not voting
- Senate: 3rd Reading & Final Passage · February 6, 202429 yea · 20 nay
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Source: the Washington State Legislature. OlympiaTrack is an independent bill-tracking service and is not affiliated with the Legislature. View on leg.wa.gov ↗