{ "type": "practice-guide", "canonical": "https://openagreements.org/practice-guides/non-compete/us/washington", "links": [ { "rel": "self", "href": "https://openagreements.org/practice-guides/non-compete/us/washington.json", "type": "application/json" }, { "rel": "alternate", "href": "https://openagreements.org/practice-guides/non-compete/us/washington", "type": "text/html" }, { "rel": "alternate", "href": "https://openagreements.org/practice-guides/non-compete/us/washington/markdown", "type": "text/markdown" }, { "rel": "alternate", "href": "https://openagreements.org/practice-guides/non-compete/us/washington/json", "type": "application/json" } ], "data": { "topic": "non-compete", "state": "washington", "frontmatter": { "title": "Non-Competes in Washington", "description": "Washington enforces employee non-competes today only above high, inflation-adjusted earnings thresholds and under strict notice and consideration rules — and a near-total statutory ban takes effect June 30, 2027 under Engrossed Substitute House Bill 1155.", "state": "Washington", "lastReviewed": "2026-06-03", "license": "CC BY 4.0", "authors": [ "steven-obiajulu" ], "summary": { "enforceability": "payThreshold", "bottomLine": "Employee non-competes are void unless earnings exceed an inflation-adjusted threshold ($126,858.83 in 2026); a near-total ban takes effect June 30, 2027.", "keyLaw": "RCW ch. 49.62 (ESHB 1155 ban from 2027)", "exceptions": "Confidentiality, trade-secret, qualifying sale-of-business and franchise covenants; narrow non-solicits", "banEffectiveDate": "Near-total ban effective June 30, 2027 (ESHB 1155)", "courtNarrowing": "rewrite", "appliesToContractors": "yes", "extendedForBreach": "Not addressed by statute", "maxLength": "18 months (longer presumed unreasonable)", "noticeRequirement": "Written disclosure no later than offer acceptance", "incomeThreshold": "$126,858.83 (2026)", "saleOfBusiness": "Qualifying sale-of-business covenants excluded", "customerNonSolicit": "Narrow non-solicits excluded", "employeeNonSolicit": "Franchise no-poach clauses restricted", "employerPayToEnforce": "ifLaidOff" }, "about": [ "Washington non-compete agreements", "Washington Noncompetition Covenants Act chapter 49.62 RCW", "RCW 49.62.020 earnings threshold non-compete", "Washington non-compete 18-month duration presumption", "Washington non-compete written disclosure and independent consideration", "Washington ESHB 1155 non-compete ban 2027", "Washington independent contractor non-compete threshold", "Washington moonlighting low-wage second job David v. Freedom Vans", "Washington non-compete $5,000 penalty", "Washington non-compete choice of law venue void" ], "translations": [ { "language": "中文", "status": "planned" }, { "language": "Español", "status": "planned" }, { "language": "Português", "status": "planned" }, { "language": "Deutsch", "status": "planned" } ], "relatedForm": { "slug": "openagreements-restrictive-covenant-washington" } }, "questions": [ { "slug": "employee-non-compete-enforceability", "label": "Are employee non-competes enforceable?", "heading": "Are employee non-compete agreements enforceable in Washington?", "answerText": "Today, only narrowly — and not for long. Washington's Noncompetition Covenants Act, chapter 49.62 RCW, makes an employee non-compete void unless the employer clears every statutory condition, including an earnings threshold that exceeds $126,858.83 for 2026. A near-total ban on all non-competition covenants then takes effect on June 30, 2027.", "sources": [ { "id": "rcw-020-void-conditions", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1)(b).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020 makes an employee non-compete void unless the employer satisfies the statutory conditions, including the earnings threshold.", "verbatimQuote": "Unless the employee's earnings from the party seeking enforcement, when annualized, exceed one hundred thousand dollars per year.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-void-conditions" }, { "id": "rcw-020-all-conditions", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(1) makes an employee non-compete void unless the employer satisfies each condition: timely written disclosure, independent consideration for a post-hire covenant, the earnings threshold, and layoff compensation.", "verbatimQuote": "(1) A noncompetition covenant is void and unenforceable: (a)(i) Unless the employer discloses the terms of the covenant in writing to the prospective employee no later than the time of the initial oral or written acceptance of the offer of employment and, if the agreement becomes enforceable only at a later date due to changes in the employee's compensation, the employer specifically discloses that the agreement may be enforceable against the employee in the future; or (ii) If the covenant is entered into after the commencement of employment, unless the employer provides independent consideration for the covenant; (b) Unless the employee's earnings from the party seeking enforcement, when annualized, exceed one hundred thousand dollars per year. This dollar amount must be adjusted annually in accordance with RCW 49.62.040 ; (c) If the employee is terminated as the result of a layoff, unless enforcement of the noncompetition covenant includes compensation equivalent to the employee's base salary at the time of termination for the period of enforcement minus compensation earned through subsequent employment during the period of enforcement.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-all-conditions" }, { "id": "lni-thresholds-enforceability", "authorityType": "agency-guidance", "tier": "official-source-backed", "title": "Washington State Department of Labor & Industries — Non-Compete Agreements", "citation": "Wash. Dep't of Labor & Indus., Non-Compete Agreements (earnings thresholds, 2026).", "url": "https://www.lni.wa.gov/workers-rights/workplace-policies/non-compete-agreements", "proposition": "The Department of Labor & Industries sets the inflation-adjusted thresholds, which reach $126,858.83 for employees and $317,147.09 for independent contractors in 2026.", "verbatimQuote": "Employees $116,593.18 $120,559.99 $123,394.17 $126,858.83 Independent Contractors $291,482.95 $301,399.98 $308,485.43 $317,147.09", "date": "2026-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-lni-thresholds-enforceability" }, { "id": "eshb1155-intent-enforceability", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 1(3).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 states the legislature's intent to ban non-competition covenants for all Washington-based workers and businesses.", "verbatimQuote": "The legislature hereby intends to ban noncompetition covenants for all Washington-based workers and businesses.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-intent-enforceability" }, { "id": "eshb1155-effective-date-enforceability", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 9.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 takes effect June 30, 2027.", "verbatimQuote": "This act takes effect June 30, 2027.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-effective-date-enforceability" }, { "id": "ssb5935-amendments", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Substitute Senate Bill 5935, ch. 36, Laws of 2024", "citation": "Substitute Senate Bill 5935, ch. 36, Laws of 2024.", "url": "https://lawfilesext.leg.wa.gov/biennium/2023-24/Htm/Bills/Session%20Laws/Senate/5935-S.SL.htm", "proposition": "Substitute Senate Bill 5935 amended chapter 49.62 RCW effective in 2024 and is the version that governs covenants entered into now.", "verbatimQuote": "AN ACT Relating to noncompetition covenants", "date": "2024-03-13", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-ssb5935-amendments" } ] }, { "slug": "earnings-threshold", "label": "When does an employee earn enough?", "heading": "When does a Washington employee earn enough to be bound by a non-compete?", "answerText": "Only when annualized earnings exceed the inflation-adjusted threshold, which is $126,858.83 for 2026. The statutory floor is $100,000, but RCW 49.62.040 requires the Department of Labor & Industries to raise it each year for inflation.", "sources": [ { "id": "rcw-020-threshold", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1)(b).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(1)(b) voids an employee non-compete unless annualized earnings exceed the statutory threshold, adjusted under RCW 49.62.040.", "verbatimQuote": "Unless the employee's earnings from the party seeking enforcement, when annualized, exceed one hundred thousand dollars per year. This dollar amount must be adjusted annually in accordance with RCW 49.62.040", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-threshold" }, { "id": "rcw-040-adjustment", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.040", "citation": "RCW 49.62.040.", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.040", "proposition": "RCW 49.62.040 directs that the earnings thresholds be adjusted annually for inflation.", "verbatimQuote": "The dollar amounts specified in RCW 49.62.020 and 49.62.030 must be adjusted annually for inflation.", "date": "2020-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-040-adjustment" }, { "id": "rcw-010-earnings", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(1).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010 defines earnings as W-2 box-one compensation annualized as of the earlier of the date enforcement is sought or the date of separation.", "verbatimQuote": "annualized and calculated as of the earlier of the date enforcement of the noncompetition covenant is sought or the date of separation from employment", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-earnings" }, { "id": "lni-thresholds-earnings-threshold", "authorityType": "agency-guidance", "tier": "official-source-backed", "title": "Washington State Department of Labor & Industries — Non-Compete Agreements", "citation": "Wash. Dep't of Labor & Indus., Non-Compete Agreements (earnings thresholds, 2026).", "url": "https://www.lni.wa.gov/workers-rights/workplace-policies/non-compete-agreements", "proposition": "The Department of Labor & Industries sets the inflation-adjusted thresholds, which reach $126,858.83 for employees and $317,147.09 for independent contractors in 2026.", "verbatimQuote": "Employees $116,593.18 $120,559.99 $123,394.17 $126,858.83 Independent Contractors $291,482.95 $301,399.98 $308,485.43 $317,147.09", "date": "2026-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-lni-thresholds-earnings-threshold" }, { "id": "eshb1155-effective-date-earnings-threshold", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 9.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 takes effect June 30, 2027, after which the earnings thresholds no longer matter.", "verbatimQuote": "This act takes effect June 30, 2027.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-effective-date-earnings-threshold" } ] }, { "slug": "independent-contractors", "label": "What about independent contractors?", "heading": "Can a Washington independent contractor be bound by a non-compete?", "answerText": "Only at a much higher earnings level — over $317,147.09 for 2026, against a $250,000 statutory base — and a performer's non-compete is capped at three calendar days.", "sources": [ { "id": "rcw-030-ic-threshold", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.030", "citation": "RCW 49.62.030(1).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.030", "proposition": "RCW 49.62.030 voids a non-compete against an independent contractor unless earnings exceed the higher statutory threshold.", "verbatimQuote": "A noncompetition covenant is void and unenforceable against an independent contractor unless the independent contractor's earnings from the party seeking enforcement exceed two hundred fifty thousand dollars per year.", "date": "2020-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-030-ic-threshold" }, { "id": "rcw-030-performer", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.030", "citation": "RCW 49.62.030(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.030", "proposition": "RCW 49.62.030(2) caps a performer's non-compete with a performance space at three calendar days.", "verbatimQuote": "The duration of a noncompetition covenant between a performer and a performance space, or a third party scheduling the performer for a performance space, must not exceed three calendar days.", "date": "2020-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-030-performer" }, { "id": "eshb1155-repeals-ic", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 8.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 repeals RCW 49.62.030 — the independent-contractor threshold and the three-day performer cap — effective June 30, 2027.", "verbatimQuote": "The following acts or parts of acts are each repealed: (1) RCW 49.62.030 (When void and unenforceable against independent contractors)", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-repeals-ic" }, { "id": "lni-thresholds-independent-contractors", "authorityType": "agency-guidance", "tier": "official-source-backed", "title": "Washington State Department of Labor & Industries — Non-Compete Agreements", "citation": "Wash. Dep't of Labor & Indus., Non-Compete Agreements (earnings thresholds, 2026).", "url": "https://www.lni.wa.gov/workers-rights/workplace-policies/non-compete-agreements", "proposition": "The Department of Labor & Industries sets the inflation-adjusted thresholds, which reach $126,858.83 for employees and $317,147.09 for independent contractors in 2026.", "verbatimQuote": "Employees $116,593.18 $120,559.99 $123,394.17 $126,858.83 Independent Contractors $291,482.95 $301,399.98 $308,485.43 $317,147.09", "date": "2026-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-lni-thresholds-independent-contractors" } ] }, { "slug": "disclosure-and-consideration", "label": "What must an employer do at signing?", "heading": "What must a Washington employer do to make a non-compete valid at signing?", "answerText": "Disclose the covenant in writing by the time the worker accepts the offer, and give independent consideration for any covenant signed after employment starts. Continued employment alone is not enough.", "sources": [ { "id": "rcw-020-disclosure", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1)(a)(i).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(1)(a)(i) voids a non-compete unless the employer discloses its terms in writing by the time the worker accepts the offer.", "verbatimQuote": "Unless the employer discloses the terms of the covenant in writing to the prospective employee no later than the time of the initial oral or written acceptance of the offer of employment", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-disclosure" }, { "id": "rcw-020-consideration", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1)(a)(ii).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(1)(a)(ii) voids a post-hire non-compete unless the employer provides independent consideration.", "verbatimQuote": "If the covenant is entered into after the commencement of employment, unless the employer provides independent consideration for the covenant", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-consideration" }, { "id": "labriola-independent-consideration", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Labriola v. Pollard Group, Inc.", "citation": "Labriola v. Pollard Group, Inc., 152 Wn.2d 828 (2004).", "url": "https://www.courtlistener.com/opinion/4908367/labriola-v-pollard-group-inc/", "deepLink": "https://www.courtlistener.com/opinion/4908367/labriola-v-pollard-group-inc/#:~:text=A%20noncompete%20agreement%20entered%20into,time%20the%20agreement%20is%20reached.", "proposition": "Labriola holds that a non-compete entered into after employment begins is validly formed only with independent consideration.", "verbatimQuote": "A noncompete agreement entered into after employment has commenced is validly formed only when there is independent consideration at the time the agreement is reached.", "date": "2004-11-10", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-labriola-independent-consideration" }, { "id": "labriola-continued-employment", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Labriola v. Pollard Group, Inc.", "citation": "Labriola v. Pollard Group, Inc., 152 Wn.2d 828 (2004).", "url": "https://www.courtlistener.com/opinion/4908367/labriola-v-pollard-group-inc/", "deepLink": "https://www.courtlistener.com/opinion/4908367/labriola-v-pollard-group-inc/#:~:text=We%20hold%20that%20continued%20employment,Employee's%20promise%20not%20to%20compete.", "proposition": "Labriola holds that continued employment did not serve as consideration for a post-hire non-compete.", "verbatimQuote": "We hold that continued employment in this case did not serve as consideration by Employer in exchange for Employee's promise not to compete.", "date": "2004-11-10", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-labriola-continued-employment" } ] }, { "slug": "layoff-pay", "label": "What if the worker is laid off?", "heading": "Can a laid-off Washington employee be held to a non-compete?", "answerText": "Only if the employer pays for it. A covenant against a worker terminated by layoff is void unless the employer pays compensation equal to the worker's base salary for the enforcement period, offset by what the worker earns elsewhere.", "sources": [ { "id": "rcw-020-layoff", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(1)(c).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(1)(c) voids a non-compete against a laid-off worker unless the employer pays base-salary compensation during the enforcement period, offset by subsequent earnings.", "verbatimQuote": "If the employee is terminated as the result of a layoff, unless enforcement of the noncompetition covenant includes compensation equivalent to the employee's base salary at the time of termination for the period of enforcement minus compensation earned through subsequent employment during the period of enforcement.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-layoff" } ] }, { "slug": "duration-limits", "label": "How long can a non-compete last?", "heading": "How long can a Washington non-compete last?", "answerText": "Eighteen months is the practical ceiling. A court or arbitrator must presume that any non-compete longer than eighteen months after termination is unreasonable and unenforceable, and only clear and convincing evidence can rebut that presumption.", "sources": [ { "id": "rcw-020-duration-duration", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(2) presumes any non-compete longer than eighteen months unreasonable, rebuttable only by clear and convincing evidence.", "verbatimQuote": "A court or arbitrator must presume that any noncompetition covenant with a duration exceeding eighteen months after termination of employment is unreasonable and unenforceable. A party seeking enforcement may rebut the presumption by proving by clear and convincing evidence that a duration longer than eighteen months is necessary to protect the party's business or goodwill.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-duration-duration" } ] }, { "slug": "what-counts", "label": "What counts as a non-compete?", "heading": "What agreements count as non-competes under Washington law?", "answerText": "A non-competition covenant is any agreement that restrains a worker from a lawful trade, and — since 2024 — any agreement that directly or indirectly prohibits accepting or transacting business with a customer. Confidentiality agreements, trade-secret covenants, qualifying sale-of-business covenants, and franchise-sale covenants are carved out.", "sources": [ { "id": "rcw-010-definition", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(4).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010(4) defines a non-competition covenant to include every covenant restraining a worker from a lawful profession, trade, or business.", "verbatimQuote": "\"Noncompetition covenant\" includes every written or oral covenant, agreement, or contract by which an employee or independent contractor is prohibited or restrained from engaging in a lawful profession, trade, or business of any kind.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-definition" }, { "id": "rcw-010-acceptance-of-business-what-counts", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(4).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010(4) treats an agreement that directly or indirectly prohibits accepting or transacting business with a customer as a non-competition covenant.", "verbatimQuote": "A \"noncompetition covenant\" also includes an agreement that directly or indirectly prohibits the acceptance or transaction of business with a customer.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-acceptance-of-business-what-counts" }, { "id": "rcw-010-exclusions", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(4).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010(4) excludes nonsolicitation, confidentiality, trade-secret, qualifying sale-of-business (one percent or more), and qualifying franchise covenants from the definition of non-competition covenant.", "verbatimQuote": "A \"noncompetition covenant\" does not include: (a) A nonsolicitation agreement; (b) a confidentiality agreement; (c) a covenant prohibiting use or disclosure of trade secrets or inventions; (d) a covenant entered into by a person purchasing or selling the goodwill of a business or otherwise acquiring or disposing of an ownership interest, but only if the person signing the covenant purchases, sells, acquires, or disposes of an interest representing one percent or more of the business; or (e) a covenant entered into by a franchisee when the franchise sale complies with RCW 19.100.020 (1).", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-exclusions" } ] }, { "slug": "nonsolicitation", "label": "Are non-solicitation and no-poach clauses allowed?", "heading": "Are non-solicitation and franchise no-poach clauses still allowed in Washington?", "answerText": "Yes, but narrowly. A nonsolicitation agreement is exempt from the Act only if it is limited to soliciting the employer's employees or its current customers; and a franchisor cannot bar a franchisee from soliciting or hiring another franchisee's or the franchisor's employees.", "sources": [ { "id": "rcw-010-nonsolicitation", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(5).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010(5) defines a nonsolicitation agreement narrowly, limited to soliciting the employer's employees or current customers.", "verbatimQuote": "\"Nonsolicitation agreement\" means an agreement between an employer and employee that prohibits solicitation by an employee, upon termination of employment: (a) Of any employee of the employer to leave the employer; or (b) of any current customer of the employer to cease or reduce the extent to which it is doing business with the employer.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-nonsolicitation" }, { "id": "eshb1155-nonsolicit-narrowing", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 3.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 narrows the nonsolicitation definition effective June 30, 2027, requiring a substantially developed direct customer relationship and an eighteen-month maximum.", "verbatimQuote": "if the employee established or substantially developed a direct relationship with the customer, patient, client, or prospect through the employee's work for the employer and the prohibition expires no later than 18 months following termination of employment", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-nonsolicit-narrowing" }, { "id": "rcw-010-acceptance-of-business-nonsolicitation", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.010", "citation": "RCW 49.62.010(4).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.010", "proposition": "RCW 49.62.010(4) treats an agreement that directly or indirectly prohibits accepting or transacting business with a customer as a non-competition covenant, not a nonsolicitation agreement.", "verbatimQuote": "A \"noncompetition covenant\" also includes an agreement that directly or indirectly prohibits the acceptance or transaction of business with a customer.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-010-acceptance-of-business-nonsolicitation" }, { "id": "rcw-060-franchisor", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.060", "citation": "RCW 49.62.060(1)-(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.060", "proposition": "RCW 49.62.060 bars a franchisor from restraining a franchisee from soliciting or hiring employees of another franchisee of the same franchisor or of the franchisor itself.", "verbatimQuote": "No franchisor may restrict, restrain, or prohibit in any way a franchisee from soliciting or hiring any employee of a franchisee of the same franchisor. (2) No franchisor may restrict, restrain, or prohibit in any way a franchisee from soliciting or hiring any employee of the franchisor.", "date": "2020-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-060-franchisor" } ] }, { "slug": "moonlighting", "label": "Can an employer bar a second job?", "heading": "Can a Washington employer stop a low-wage employee from taking a second job?", "answerText": "No. An employer may not prohibit an employee earning less than twice the state minimum wage from taking an additional job, and the Washington Supreme Court has held that the duty-of-loyalty exception to that rule must be construed narrowly.", "sources": [ { "id": "rcw-070-moonlighting", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.070", "citation": "RCW 49.62.070(1).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.070", "proposition": "RCW 49.62.070 bars an employer from restraining an employee earning less than twice the state minimum wage from taking an additional job.", "verbatimQuote": "an employer may not restrict, restrain, or prohibit an employee earning less than twice the applicable state minimum hourly wage from having an additional job, supplementing their income by working for another employer, working as an independent contractor, or being self-employed.", "date": "2020-01-01", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-070-moonlighting" }, { "id": "david-second-jobs", "authorityType": "case-law", "tier": "primary-source-backed", "title": "David v. Freedom Vans, LLC", "citation": "David v. Freedom Vans, LLC, 4 Wn.3d 242 (2025).", "url": "https://www.courtlistener.com/opinion/10319821/springer-v-freedom-vans-llc/", "deepLink": "https://www.courtlistener.com/opinion/10319821/springer-v-freedom-vans-llc/#:~:text=In%20Washington%2C%20employers%20who%20pay,to%20a%20few%2C%20limited%20exceptions.", "proposition": "David v. Freedom Vans holds that employers paying less than twice the minimum wage cannot prohibit low-wage employees from working second jobs.", "verbatimQuote": "In Washington, employers who pay their employees less than twice the minimum wage cannot prohibit them from working second jobs, subject to a few, limited exceptions.", "date": "2025-01-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-david-second-jobs" }, { "id": "david-duty-of-loyalty", "authorityType": "case-law", "tier": "primary-source-backed", "title": "David v. Freedom Vans, LLC", "citation": "David v. Freedom Vans, LLC, 4 Wn.3d 242 (2025).", "url": "https://www.courtlistener.com/opinion/10319821/springer-v-freedom-vans-llc/", "deepLink": "https://www.courtlistener.com/opinion/10319821/springer-v-freedom-vans-llc/#:~:text=We%20decline%20to%20adopt%20this,the%20exceptions%20be%20construed%20narrowly.", "proposition": "David v. Freedom Vans declines to read the duty-of-loyalty exception broadly, because doing so would render the chapter 49.62 RCW protections meaningless.", "verbatimQuote": "We decline to adopt this expansive view of the duty of loyalty, as it would render the employee protections in chapter 49.62 RCW meaningless and would require us to ignore the directive in the statute itself that the exceptions be construed narrowly.", "date": "2025-01-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-david-duty-of-loyalty" } ] }, { "slug": "choice-of-law", "label": "Can another state's law govern?", "heading": "Can an out-of-state choice-of-law or venue clause govern a Washington worker's non-compete?", "answerText": "No. For a Washington-based worker, a provision requiring out-of-state adjudication, depriving the worker of the Act's protections, or applying another state's law is void and unenforceable.", "sources": [ { "id": "rcw-050-choiceoflaw", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.050", "citation": "RCW 49.62.050.", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.050", "proposition": "RCW 49.62.050 voids out-of-state venue, protection-stripping, and non-Washington choice-of-law provisions for a Washington-based worker.", "verbatimQuote": "A provision in a noncompetition covenant signed by an employee or independent contractor who is Washington-based is void and unenforceable: (1) If the covenant requires the employee or independent contractor to adjudicate a noncompetition covenant outside of this state; (2) To the extent it deprives the employee or independent contractor of the protections or benefits of this chapter; or (3) If it allows or requires the application of choice of law principles or the substantive law of any jurisdiction other than Washington state.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-050-choiceoflaw" } ] }, { "slug": "penalties", "label": "What are the penalties?", "heading": "What are the penalties for an unenforceable Washington non-compete?", "answerText": "At least $5,000 per worker, plus fees — and the penalty is triggered even if a court only partially enforces or rewrites the covenant. The attorney general may also pursue relief.", "sources": [ { "id": "rcw-080-penalty", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.080", "citation": "RCW 49.62.080(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.080", "proposition": "RCW 49.62.080(2) requires a violator to pay the greater of actual damages or a $5,000 statutory penalty, plus fees and costs.", "verbatimQuote": "If a court or arbitrator determines that a noncompetition covenant violates this chapter, the violator must pay the aggrieved person the greater of his or her actual damages or a statutory penalty of five thousand dollars, plus reasonable attorneys' fees, expenses, and costs incurred in the proceeding.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-080-penalty" }, { "id": "rcw-080-reformation-penalty-penalties", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.080", "citation": "RCW 49.62.080(3).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.080", "proposition": "RCW 49.62.080(3) applies the same penalty when a court reforms, rewrites, modifies, or only partially enforces a non-compete.", "verbatimQuote": "If a court or arbitrator reforms, rewrites, modifies, or only partially enforces any noncompetition covenant, the party seeking enforcement must pay the aggrieved person the greater of his or her actual damages or a statutory penalty of five thousand dollars, plus reasonable attorneys' fees, expenses, and costs incurred in the proceeding.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-080-reformation-penalty-penalties" }, { "id": "rcw-080-ag", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.080", "citation": "RCW 49.62.080(1).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.080", "proposition": "RCW 49.62.080(1) authorizes the attorney general to pursue any and all relief for a violation of the chapter.", "verbatimQuote": "Upon a violation of this chapter, the attorney general, on behalf of a person or persons, may pursue any and all relief.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-080-ag" } ] }, { "slug": "common-law-reasonableness", "label": "What about covenants outside the Act?", "heading": "Are covenants outside the Act judged by a reasonableness test in Washington?", "answerText": "Yes. Chapter 49.62 RCW preserves the common law, and for a covenant the statute does not void, Washington courts apply a three-factor reasonableness test.", "sources": [ { "id": "eshb1155-ban-common-law", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 1(3).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 bans non-competition covenants for all Washington-based workers, displacing the reasonableness analysis for covered non-competes after June 30, 2027.", "verbatimQuote": "The legislature hereby intends to ban noncompetition covenants for all Washington-based workers and businesses.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-ban-common-law" }, { "id": "rcw-090-common-law", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.090", "citation": "RCW 49.62.090(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.090", "proposition": "RCW 49.62.090(2) preserves the common law except as otherwise provided in the chapter.", "verbatimQuote": "Except as otherwise provided in this chapter, this chapter does not revoke, modify, or impede the development of the common law.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-090-common-law" }, { "id": "perry-three-factors", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Perry v. Moran", "citation": "Perry v. Moran, 109 Wn.2d 691 (1987).", "url": "https://www.courtlistener.com/opinion/1453982/perry-v-moran/", "deepLink": "https://www.courtlistener.com/opinion/1453982/perry-v-moran/#:~:text=Whether%20a%20covenant%20is%20reasonable,warrant%20nonenforcement%20of%20the%20covenant.", "proposition": "Perry v. Moran sets Washington's three-factor reasonableness test for restrictive covenants.", "verbatimQuote": "Whether a covenant is reasonable involves a consideration of three factors: (1) whether restraint is necessary for the protection of the business or goodwill of the employer, (2) whether it imposes upon the employee any greater restraint than is reasonably necessary to secure the employer's business or goodwill, and (3) whether the degree of injury to the public is such loss of the service and skill of the employee as to warrant nonenforcement of the covenant.", "date": "1987-12-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-perry-three-factors" }, { "id": "emerick-enforceable-if-reasonable", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Emerick v. Cardiac Study Center, Inc.", "citation": "Emerick v. Cardiac Study Ctr., Inc., 189 Wn. App. 711 (2015).", "url": "https://www.courtlistener.com/opinion/2830060/robert-emerick-v-cardiac-study-center-incps/", "deepLink": "https://www.courtlistener.com/opinion/2830060/robert-emerick-v-cardiac-study-center-incps/#:~:text=Under%20Washington%20law%2C%20noncompete%20covenants,they%20are%20reasonable%20and%20lawful.", "proposition": "Emerick states the modern rule that Washington non-compete covenants are enforceable if reasonable and lawful.", "verbatimQuote": "Under Washington law, noncompete covenants are enforceable if they are reasonable and lawful.", "date": "2015-08-24", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-emerick-enforceable-if-reasonable" } ] }, { "slug": "court-narrowing", "label": "Will a court narrow an overbroad covenant?", "heading": "Will a Washington court rewrite or partially enforce an overbroad non-compete?", "answerText": "A court can reform an overbroad covenant, but doing so triggers the statutory penalty. Washington courts have long enforced a covenant only to the extent it is reasonable, yet RCW 49.62.080 makes the employer pay the $5,000 penalty whenever a court reforms or partially enforces one.", "sources": [ { "id": "woodmay-reasonable-extent-court-narrowing", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Wood v. May", "citation": "Wood v. May, 73 Wn.2d 307 (1968).", "url": "https://www.courtlistener.com/opinion/1207148/wood-v-may/", "deepLink": "https://www.courtlistener.com/opinion/1207148/wood-v-may/#:~:text=It%20is%20well%20settled%20that,business%20interest%20of%20the%20employer.", "proposition": "Wood v. May holds that equity enforces a restraint against a former employee only to the extent reasonable and necessary to protect a legitimate business interest.", "verbatimQuote": "It is well settled that a court of equity will use its power to enforce a restriction against a former employee's competition only to the extent that such restriction is reasonable and necessary to protect a legitimate business interest of the employer.", "date": "1968-03-14", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-woodmay-reasonable-extent-court-narrowing" }, { "id": "emerick-partial", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Emerick v. Cardiac Study Center, Inc.", "citation": "Emerick v. Cardiac Study Ctr., Inc., 189 Wn. App. 711 (2015).", "url": "https://www.courtlistener.com/opinion/2830060/robert-emerick-v-cardiac-study-center-incps/", "deepLink": "https://www.courtlistener.com/opinion/2830060/robert-emerick-v-cardiac-study-center-incps/#:~:text=If%20the%20trial%20court%20determines,entire%20covenant%20does%20not%20fail.", "proposition": "Emerick holds that when certain terms of a covenant are unreasonable, the entire covenant does not fail and a court may modify it.", "verbatimQuote": "If the trial court determines that certain terms of the covenant are unreasonable—such as the geographic and temporal scope of the restraint—the entire covenant does not fail.", "date": "2015-08-24", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-emerick-partial" }, { "id": "rcw-080-reformation-penalty-court-narrowing", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.080", "citation": "RCW 49.62.080(3).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.080", "proposition": "RCW 49.62.080(3) imposes the $5,000 penalty whenever a court reforms, rewrites, modifies, or only partially enforces a non-compete.", "verbatimQuote": "If a court or arbitrator reforms, rewrites, modifies, or only partially enforces any noncompetition covenant, the party seeking enforcement must pay the aggrieved person the greater of his or her actual damages or a statutory penalty of five thousand dollars, plus reasonable attorneys' fees, expenses, and costs incurred in the proceeding.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-080-reformation-penalty-court-narrowing" } ] }, { "slug": "extended-for-breach", "label": "Does a non-compete toll during breach?", "heading": "Does a Washington non-compete toll or extend during breach or litigation?", "answerText": "This is an open question, and the statute's structure cuts against automatic extension. Chapter 49.62 RCW does not address tolling or extending the restricted period during a breach or while litigation is pending, and the eighteen-month presumption caps duration regardless.", "sources": [ { "id": "rcw-020-duration-tolling", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "RCW 49.62.020", "citation": "RCW 49.62.020(2).", "url": "https://app.leg.wa.gov/RCW/default.aspx?cite=49.62.020", "proposition": "RCW 49.62.020(2) presumes any non-compete longer than eighteen months unreasonable, which constrains any tolling-based extension.", "verbatimQuote": "A court or arbitrator must presume that any noncompetition covenant with a duration exceeding eighteen months after termination of employment is unreasonable and unenforceable.", "date": "2024-06-06", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-rcw-020-duration-tolling" }, { "id": "woodmay-reasonable-extent-tolling", "authorityType": "case-law", "tier": "primary-source-backed", "title": "Wood v. May", "citation": "Wood v. May, 73 Wn.2d 307 (1968).", "url": "https://www.courtlistener.com/opinion/1207148/wood-v-may/", "deepLink": "https://www.courtlistener.com/opinion/1207148/wood-v-may/#:~:text=It%20is%20well%20settled%20that,business%20interest%20of%20the%20employer.", "proposition": "Wood v. May limits enforcement to the reasonable extent of a restraint, which cuts against a clause mechanically extending the restricted period.", "verbatimQuote": "It is well settled that a court of equity will use its power to enforce a restriction against a former employee's competition only to the extent that such restriction is reasonable and necessary to protect a legitimate business interest of the employer.", "date": "1968-03-14", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-woodmay-reasonable-extent-tolling" } ] }, { "slug": "the-2027-ban", "label": "What changes on June 30, 2027?", "heading": "What changes when Washington's near-total non-compete ban takes effect on June 30, 2027?", "answerText": "Almost everything. Engrossed Substitute House Bill 1155 makes all non-competition covenants void regardless of income, turns enforcing or even threatening to enforce one into a violation, requires employers to notify affected workers by October 1, 2027, and repeals the income thresholds.", "sources": [ { "id": "eshb1155-intent-the-2027-ban", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 1(3).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 states the legislature's intent to ban non-competition covenants for all Washington-based workers and businesses.", "verbatimQuote": "The legislature hereby intends to ban noncompetition covenants for all Washington-based workers and businesses.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-intent-the-2027-ban" }, { "id": "eshb1155-effective-date-the-2027-ban", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 9.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 takes effect June 30, 2027.", "verbatimQuote": "This act takes effect June 30, 2027.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-effective-date-the-2027-ban" }, { "id": "eshb1155-enforcement-violation", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 4(2).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 makes it a violation to enforce, attempt to enforce, or threaten to enforce a non-compete, to represent that a worker is subject to one, or to enter into one.", "verbatimQuote": "It is a violation of this chapter for an employer to enforce, attempt to enforce, or threaten to enforce against an employee or worker any noncompetition covenant, to represent that the employee or worker is subject to a noncompetition covenant, or to enter into or attempt to enter into a noncompetition covenant with an employee or worker.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-enforcement-violation" }, { "id": "eshb1155-notice-duty", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 4(3).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 requires employers, by October 1, 2027, to make reasonable efforts to notify current and former workers whose covenant is still within its time period that it is void.", "verbatimQuote": "By October 1, 2027, an employer must make reasonable efforts to provide written notice to all current and former employees and independent contractors whose noncompetition covenant is still within its effective time period, that their noncompetition covenant is void and unenforceable.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-notice-duty" }, { "id": "eshb1155-forfeiture", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 3.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 expands the definition of non-competition covenant to capture provisions requiring a worker to return, repay, or forfeit compensation as a consequence of competing.", "verbatimQuote": "A \"noncompetition covenant\" also includes any provision in an agreement that threatens, demands, requires, or otherwise effectuates that an individual return, repay, or forfeit any right, benefit, or compensation, as a consequence of the individual engaging in a lawful profession, trade, or business of any kind.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-forfeiture" }, { "id": "eshb1155-repeals", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 8.", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 repeals the independent-contractor threshold (RCW 49.62.030) and the annual dollar-amount adjustment (RCW 49.62.040), eliminating the income thresholds, and also repeals the broadcasting-industry rule (RCW 49.44.190).", "verbatimQuote": "The following acts or parts of acts are each repealed: (1) RCW 49.62.030 (When void and unenforceable against independent contractors) and 2019 c 299 s 4; (2) RCW 49.62.040 (Dollar amounts adjusted) and 2019 c 299 s 5", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-repeals" }, { "id": "eshb1155-voidall", "authorityType": "primary-law", "tier": "primary-source-backed", "title": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026", "citation": "Engrossed Substitute House Bill 1155, ch. 149, Laws of 2026, § 4(1).", "url": "https://lawfilesext.leg.wa.gov/Biennium/2025-26/Htm/Bills/Session%20Laws/House/1155-S.SL.htm", "proposition": "ESHB 1155 voids non-competition covenants regardless of when the parties entered into them, reaching existing agreements.", "verbatimQuote": "regardless of when the parties entered into the noncompetition covenant.", "date": "2026-03-23", "anchor": "https://openagreements.org/practice-guides/non-compete/us/washington#src-eshb1155-voidall" } ] } ] } }