Business

Jimmy John's agrees to end noncompete deals in Illinois

Posted December 08, 2016 12:00 am

Associated Press

CHICAGO - Illinois Attorney General Lisa Madigan says the Jimmy John's sandwich chain has agreed to stop requiring low-level employees to sign agreements preventing them from seeking jobs with competitors.

Madigan said Wednesday that the Champaign-based chain also agreed to inform its employees that previously signed agreements will not be enforced and to tell franchise owners to rescind any existing agreements. Madigan sued Jimmy John's in June.

A Jimmy John's news release said the company is pleased to have the lawsuit resolved.

The agreements forbid employees from working for any competitor near a Jimmy John's that derived at least 10 percent of its revenue from submarine or deli sandwiches.

Jimmy John's reached a similar deal with the state of New York over noncompete agreements in June.

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