The bill amends the Rhode Island Noncompetition Agreement Act by introducing new definitions and modifying existing ones. Key insertions include the definition of "forfeiture agreement," which imposes financial consequences on a former employee regardless of competitive activities, and "forfeiture for competition agreement," which specifically addresses consequences tied to competitive actions post-employment. The bill also clarifies the definition of "noncompetition agreement" to include agreements not to compete with a specific business and outlines exceptions to such agreements, including those related to the sale of a business and agreements made by financial institutions under the Gramm-Leach-Bliley Act. Notably, the bill removes the previous definitions of "low-wage employee" and the specific categories of workers exempt from noncompetition agreements, replacing them with a broader provision that allows enforceability under certain conditions.

Additionally, the bill establishes a new section allowing employers to bring civil actions against employees who violate noncompetition agreements by disclosing or misusing trade secrets. Successful employers may be awarded various forms of damages, including injunctive relief and attorneys' fees. The act aims to limit the enforceability of noncompetition agreements while providing a legal avenue for employers to protect their trade secrets, taking effect upon passage.