The New England Venture Capital Association has hired a former state senator as a lobbyist as it ramps up its effort to ban non-compete agreements and lawmakers take up Gov. Deval Patrick's proposal to eliminate the practice in Massachusetts.
Former Sen. Jack Hart has been working for about a month to guide the NEVCA through the legislative process, and has secured meetings with key lawmakers, said C.A. Webb, the association's executive director.
"He's helped open many doors," Webb said.
Yesterday, Webb and dozens of others testified before the Joint Committee for Economic Development and Emerging Technologies. Senate chairman Gale Candaras (D-Wilbraham) said their version of the bill will "certainly" include a change to the law governing non-compete agreements, although she was unsure what that would be.
There will be "some sort of modification if not elimination," she said. "I am very concerned about the impact on our economy."
Bijan Sabet, a venture capitalist with Spark Capital who has made early investments in companies including Twitter and Tumblr, told the committee that eliminating non-compete agreements is crucial for Boston's tech future.
"Every company has a connective tissue with companies before it. We've cut this off," he said.
But the Greater Boston Chamber of Commerce and Associated Industries of Massachusetts spoke in support of the agreements.
"We know from members that non-competes are used in a wide range of industries," said Jim Klocke, Chamber executive vice president. "If we were to ban them, we would put those industries at a competitive disadvantage."
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