This bill allows owners of jointly owned businesses to include non-compete agreements in their operating documents or sale agreements that prevent departing owners from starting competing businesses in the same area for up to three years after they sell their stake. The bill clarifies that these non-compete clauses are valid and enforceable under South Dakota law when they meet these conditions.
Signed by the Governor H.J. 571
Delivered to the Governor H.J. 546
Signed by the President S.J. 506
Signed by the Speaker H.J. 529
Senate Do Pass Passed, YEAS 34, NAYS 0. S.J. 461
Commerce and Energy Certified uncontested, placed on consent
Commerce and Energy Do Pass Passed, YEAS 7, NAYS 0.
Commerce and Energy Scheduled for hearing
First read in Senate and referred to Senate Commerce and Energy S.J. 232
House of Representatives Do Pass Passed, YEAS 63, NAYS 2. H.J. 266
Judiciary Do Pass Passed, YEAS 10, NAYS 1. H.J. 14
Judiciary Scheduled for hearing
First read in House and referred to House Judiciary H.J. 164
Prime sponsor · Sen.
R
Prime sponsor · Rep.
R
Commerce and Energy — Do Pass
Do Pass
Judiciary — Do Pass