March
March 28 – Changes to the rules governing the enforcement of non-compete agreements became law
On March 28, 2018, Senate Bill 1287 became law without Governor Otter’s signature. The law makes changes to the burden of proof in cases involving non-compete agreements. The prior rule placed the burden of proof on the key employees or independent contractors to establish that they did not cause irreparable harm to their prior employers when they violated their non-compete agreemetns. Under the new law, the key employees or independent contractors do not carry this burden of proof.
The new law becomes effective on July 1, 2018.
March 26 – Gov. Otter signed a law exempting immediate youth family-member employees from minimum wage requirements
On March 26, 2018, Governor Otter signed House Bill 466, a law that exempts employees who are under 18 years old from minimum wage requirements if they are employed by immediate family members or an immediate family member’s business.
The new law becomes effective on July 1, 2018.
March 20 – Gov. Otter signed a law clarifying when employees of a franchisee are considered employees of the franchisor
On March 20, 2018, Governor Otter signed House Bill 527. The new law clarifies that employees of franchisees are presumptively not employees of the franchisors. Employees of franchisees may only be found to be employees of franchisors if:
- the franchisee or the employee is specifically described as an employee of the franchisor in the franchise agreement, or
- the franchisor is found or has been found by a court or another tribunal to have exercised a type or degree of control over the franchisee or the franchisee’s employee that is not customarily exercised by a franchisor.
