Impact | Business Risk Management Blog

The Illinois House and Senate have agreed on a version of the Illinois Freedom to Work Act, which is waiting for Governor Pritzker to sign into law. The Act puts restrictions on which employees can be subject to covenants not to compete and covenants not to solicit.

A new Ordinance in the city of Chicago will prohibit Chicago employers from firing or disciplining workers who leave work to get a COVID-19 vaccine during the workers’ normally scheduled work hours. The Chicago City Council unanimously approved the Ordinance on April 21, 2021, and the Ordinance goes into effect immediately.

Greensfelder's John Goldstein was recently interviewed by Law360 to discuss how the pandemic has reshaped commercial real estate and created the need for certain technology updates in office buildings.

Read the full article here.

What constitutes “solicitation” in the context of a non-solicitation provision? A recent decision from the U.S. District Court for Central District of Illinois attempted to shed some light on that question.

On March 23, 2021, Illinois Gov. J.B. Pritzker signed into law Senate Bill 1480, the Employee Background Fairness Act. This impacts certain Illinois employers because it imposes new reporting and registration requirements concerning employee demographics and pay under the Illinois Business Corporation Act (IBCA) and the Illinois Equal Pay Act (IEPA), and creates new whistleblower anti-retaliation protections under the IEPA. The amendments take effect immediately.

On March 23, 2021, Illinois Gov. J.B. Pritzker signed into law Senate Bill 1480, the Employee Background Fairness Act. This impacts Illinois employers because it imposes new obligations under the Illinois Human Rights Act (IHRA) on the way they can use criminal convictions to assess employment eligibility for applicants and current employees. It also imposes new reporting and registration requirements concerning employee demographics under the Illinois Business Corporation Act (IBCA) and the Illinois Equal Pay Act (IEPA) and creates new whistleblower anti-retaliation protections under the IEPA.

Greensfelder's Scott Cruz wrote an article that was published by the Daily Herald, discussing the circumstances under which employers may implement a mandatory or voluntary COVID-19 vaccine program, as well as what exceptions could conflict with such programs.

Read the full article here.

On March 11, 2021, President Biden signed into law the American Rescue Plan Act (ARP). Among its many provisions, the ARP addresses paid sick and family leave under the Families First Coronavirus Response Act (FFCRA), and payroll tax credits for providing such paid leave.

Several bills are pending in the Illinois House of Representatives and Senate that, if signed into law, could radically change the landscape of the use of covenants not to compete and covenants not to solicit in Illinois. Employers should be aware of this pending legislation because, if passed, it could have serious ramifications for businesses in Illinois. 

Several times a year, business owners tell me that restrictive covenants (such as non-competition, non-solicitation or non-disclosure provisions) are not enforceable in Illinois. That is not true. The state and federal courts in Illinois enforce restrictive covenants on a routine basis. However, to be enforced, the restrictive covenants need to have been properly drafted and kept up to date with changes in the law. Put another way, in the majority of cases where the courts do not enforce the restrictive covenants, the restrictive covenants could have been drafted in such a way that they likely would have been upheld.