July 24, 2007, Introduced by Senator GLEASON and referred to the Committee on Commerce and Tourism.
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 contract provision that 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 is presumed to be
unreasonable. A person who suffers damages from the enforcement or
attempted enforcement of an unreasonable contract provision in
violation of this subsection is entitled to damages, reasonable
attorney fees, and costs as provided in section 8(2).
(3) As used in this section, unless the context otherwise
indicates, "broadcasting industry contract" means an employment
contract between an individual 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 applies to
covenants and
agreements
which that are entered into after March 29, 1985.