First Substitute S.B. 113

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Senate 2nd Reading Amendments 2-25-2005 rd/ This document includes Senate 2nd Reading Floor Amendments incorporated into the bill on Fri, Feb 25, 2005 at 11:37 AM by rday. --> Senator Ed Mayne proposes the following substitute bill:

1 EMPLOYEE NONCOMPETITION CONTRACTS
2 2005 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Ed Mayne
5
6 LONG TITLE
7 General Description:
8 This bill modifies the Judicial Code to address employee noncompetition contracts.
9 Highlighted Provisions:
10 This bill:
11 . provides when noncompetition contracts are unenforceable.
12 Monies Appropriated in this Bill:
13 None
14 Other Special Clauses:
15 None
16 Utah Code Sections Affected:
17 ENACTS:
18 78-27-65, Utah Code Annotated 1953
19
20 Be it enacted by the Legislature of the state of Utah:
21 Section 1. Section 78-27-65 is enacted to read:
22 78-27-65. Employment related to noncompetition contracts.
23 A S. provision of a .S contract between an employer and an employee that restricts or
23a prohibits the
24 employee from competing with the employer after the employee no longer works for the
25 employer may not be enforced if the employee's employment is terminated pursuant to a

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*SB0113S01*