Bill > HB0517

This bill amends the Post-employment Restrictions Act by modifying the rules for post-employment restrictive covenants (contractual agreements that limit an employee's ability to work for competitors after leaving a job). The bill maintains the general one-year limit on such covenants but introduces specific provisions for two professional categories. For broadcasting employees, the bill allows longer restrictive covenants under certain conditions, such as termination for cause or contract breach, with a maximum duration tied to the original employment contract. Additionally, the bill introduces a new provision for mental health providers, rendering any post-employment restrictive covenant void if the employer has a waitlist for mental health services longer than two months at the time of contract signing or employment termination. The bill also adds a definition for "mental health provider" by referencing an existing definition in another section of Utah law. These changes aim to provide more balanced protections for employees while acknowledging the unique circumstances of specific professional sectors. The bill is set to take effect on May 7, 2025.

https://le.utah.gov/~2025/bills/static/HB0517.html