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2020 SESSION
HB 1550 Franchises; covenants not to compete.
Introduced by: Glenn R. Davis | all patrons ... notes | add to my profiles
SUMMARY AS INTRODUCED:
Franchises; covenants not to compete. Declares that any covenant not to compete executed on or after July 1, 2020, between a franchisor and any of its franchisees that restricts the ability of a former franchisee to conduct a business that will compete with the franchisor or another of its franchisees is void unless the franchisor or other franchisee has conducted such a business within 150 miles of the former franchisee's authorized area at any time during the 12 months preceding the termination or expiration of the former franchisee's franchise. A former franchisee that suffers damages as a result of a violation may bring an action against its former franchisor. Violations are also subject to imposition of civil penalties by the State Corporation Commission.
FULL TEXT
AMENDMENTS
HISTORY
- 01/10/20 House: Presented and ordered printed 20104314D
- 01/10/20 House: Referred to Committee on Labor and Commerce
- 01/23/20 House: Tabled in Labor and Commerce (15-Y 6-N)