Kansas Law Mandates Reformation and Strengthens Non-Solicitation Covenants
At a Glance Kansas has amended its Restraint of Trade Act to impose mandatory judicial reformation of overbroad protective covenants. The amendments also create conclusive presumptions of enforceability for certain employee and customer non-solicitation provisions. On April 9, 2025, Kansas Governor Laura Kelly signed into law Senate Bill No. 241 , which amends Section 50-163 of the Kansas Restraint of Trade Act (the “Act”) 1 to clarify what types of business contracts, agreements and arrangements are not intended to unreasonably restrain trade or commerce and do not contravene public welfare under the Act. The Act already said that it “shall not be construed to apply to: … any franchise agreements or covenants not to compete .” 2 However, whether the Act covered non-solicitation provisions had not been clear. Now it is—the amendments to the Act create conclusive presumptions of enforceability for employee and customer non-solicitation covenants where ...