New Employment Law Alert Issued on California AB 1076 and Non-Compete Disclosures

SACRAMENTO, CALIFORNIA – Klinedinst employment lawyers Greg A. Garbacz and Guarav Bobby Kalra have published a new client alert on California Assembly Bill 1076.

AB 1076, which went into effect on January 1, 2024, requires California employers to notify employees that non-compete language in any employment agreement that they signed is void.

The bill gave six weeks for California employers to provide these notifications to impacted employees. Failure to comply can lead to hefty fines of $2,500 for each violation, as well as the potential for attorneys’ fees. Non-compliance could also be considered unfair competition, which could lead to further litigation in the future.

Within the alert, Garbacz and Kalra provide insight on the bill, as well as practical tips for employers to help ensure compliance. They also suggest that employers take this notification as an opportunity to highlight to employees the other provisions of their employment agreements, such as affirmative confidentiality provisions, that remain enforceable.

Download the full AB 1076 client alert by clicking here.

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