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Client Alert Trevor Rubin Client Alert Trevor Rubin

New Virginia Noncompete Law Passed, Goes to Governor

The Virginia Assembly passed Senate Bill 170, which adds new limits on the enforceability of noncompetes against terminated employees. Governor Spanberger is expected to sign this into law. The employer cannot enforce a noncompete unless it pays "severance benefits or other monetary payment" to the employee. Moreover, the employer must notify an employee of the benefit or payment to trigger the enforcement of the noncompete upon termination. This applies to all employees regardless of salary. Any noncompete agreed, amended, or renewed after July 1, 2026 is affected.

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