Connecticut’s Governor Vetoes Restrictive Non-Compete Bill Due to Lack of Clarity

On Friday, July 12, 2013, Connecticut’s Governor Dannel P. Malloy vetoed a bill that would have restricted the use of non-compete agreements in the context of mergers and acquisitions. The proposed bill, “An Act Concerning Employer Use of Noncompete Agreements,” Public Act No. 13-309 (the Act), would have voided non-compete agreements entered into, renewed, or extended when the agreement followed an acquisition or merger unless the employer provided the employee with a “reasonable period of time” (at least seven calendar days) to consider the non-compete agreement.