Banking Brief: Financial Services Insights

Although it did not advance through the 2025 legislative session, Indiana General Assembly’s introduction of House Bill 1625 marks a noteworthy moment in Indiana’s ongoing conversation around noncompete agreements. The proposed bill, which would have prohibited virtually all noncompetes entered into after June 30, 2025, signals Indiana lawmakers are increasingly willing to reconsider the role restrictive covenants play in today’s labor market. For employers across all industries, the proposed bill serves as a reminder that the legal landscape surrounding noncompetes is evolving and future legislative effort could push Indiana closer to broader constraints. While it is not possible to predict if a similar bill will be introduced in the 2026 session, now is an ideal time for organizations to assess how prepared they are for a potential shift.