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Vermont working group urges statute with guardrails for noncompete agreements
Summary
A Bakers Association-led working group told the House Commerce & Economic Development Committee it could support statutory guardrails on noncompete agreements but flagged major open questions — wage thresholds, trade-secret scope, health-care impacts and a recommendation against retroactive changes.
A working group convened at the House Commerce & Economic Development Committee on Jan. 8, 2026 recommended that lawmakers consider statutory guardrails for noncompete agreements while leaving several consequential decisions — including wage thresholds, trade-secret definitions and health-care exceptions — to further legislative work and case-law review.
The group, organized by Chris Delia of the Bakers Association, reported it met several times last year to examine how Vermont courts have handled noncompete cases and how other states approach the issue. "We felt this might be, an opportunity for you," Delia told the committee, urging lawmakers to use established case law as a foundation for any draft legislation rather than creating an entirely new framework that would invite prolonged litigation.
Why it matters: Noncompete clauses can limit workers’ mobility and earnings but can also protect…
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