November 19, 2008, Introduced by Rep. Meisner and referred to the Committee on Commerce.
A bill to amend 1984 PA 274, entitled
"Michigan antitrust reform act,"
by amending section 4a (MCL 445.774a), as added by 1987 PA 243.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4a. (1) An employer may obtain from an employee an
agreement
or covenant which that protects an employer's reasonable
competitive business interests and expressly prohibits an employee
from engaging in employment or a line of business after termination
of employment if the agreement or covenant is reasonable as to its
duration, geographical area, and the type of employment or line of
business. To the extent any such agreement or covenant is found to
be unreasonable in any respect, a court may limit the agreement to
render it reasonable in light of the circumstances in which it was
made and specifically enforce the agreement as limited.
(2) A broadcasting industry personal service contract
provision is presumed unreasonable if it does either of the
following:
(a) Requires an employee or prospective employee to refrain
from obtaining employment in a specified geographic area for a
specified time following expiration of the contract or upon
termination of employment without fault of the employee.
(b) Requires the employee to agree to enter into a subsequent
employment contract with the employer upon the same terms and
conditions as a prospective employer offers.
(3) As used in this section, unless the context otherwise
indicates, "broadcasting industry personal service contract" means
an employment contract between an individual who is not employed
primarily in sales or management and a legal entity, or an
affiliate of a legal entity, that owns 1 or more television
stations or networks or 1 or more radio stations or networks.
(4) (2)
This section shall apply Subsection
(1) applies to
covenants
and agreements which that are entered into after March
29, 1985. Subsection (2) applies to covenants and agreements that
are entered into after the effective date of the amendatory act
that added subsections (3) and (4).