Washington Becomes Latest State to Ban Noncompete Agreements
On March 23, 2026, Washington Governor Bob Ferguson signed into law a bill banning nearly all noncompete agreements for employees and independent contractors, e ffective June 30, 2027. The law, Substitute House Bill (SHB) 1155, declares that all “noncompetition agreements” are “void and unenforceable” after that date, and prohibits employers from enforcing such restrictions. 00:00 24:53 Quick Hits On March 23, 2026, Washington Governor Bob Ferguson signed a bill into law that will ban noncompete agreements for employees and independent contractors. The law will declare all current employment-based and independent contractor-based “noncompetition agreements” to be void and unenforceable, and will prohibit employers from enforcing them. The law will prohibit entering into new employment-based and independent contractor-based noncompetition covenants. The ban will not apply to certain other restrictive covenants, including narrowly-drafted nonsolicitation agreements. The law takes effect ...