Ga.'s New Restrictive Covenant Act

Law360, New York (November 4, 2010, 12:43 PM EDT) -- Georgia has long been one of the most difficult states in the country to enforce restrictive covenants. All that changed on Nov. 3, 2010, when Georgia voters approved a constitutional amendment giving effect to a statute regarding restrictive covenants which was originally passed in 2009. The new Restrictive Covenant Act dramatically changes the enforceability of restrictive covenants in employment agreements entered into on or after the act’s Nov. 3 effective date.

Pre-Act Law

Prior to the act, Georgia courts enforced restrictive covenants on a case-by-case basis,...
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