Trade Secrets & Employee Mobility

Louisiana and Maryland have recently enacted restrictions on noncompete agreements with certain individuals and professions that will go into effect later this calendar year, and Iowa also passed legislation that recently went into effect.  Here’s what employers need to know.

In a recent opinion, the Delaware Court of Chancery refused to enforce or blue-pencil restrictive covenants imposed after a national restoration company acquired a local restoration business.  Although it is an unpublished opinion, the case presents another example of the Delaware Court of Chancery refusing to blue pencil an overbroad restrictive covenant agreement. 

On April 15, 2026, Governor Janet T. Mills signed into law “An Act Relating to Noncompete Agreements Between Employers and Health Care Practitioners,” L.D. 2200 (the “Amendments”).  The Amendments significantly restrict noncompetes for health care practitioners in the State of Maine.  The Amendments apply to all noncompete agreements entered into, or renewed on or after, the Amendments’ effective date of July 13, 2026 (the “Effective Date”).

On March 24, 2026, Governor Spencer J. Cox signed the Healthcare Worker Post-Employment Amendments, House Bill 270 (the “Amendments”) into law. Taking effect on May 6, 2026, the Amendments eliminate, with limited exceptions, post-employment noncompetes in the State of Utah for healthcare workers.