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Texas Court Issues National Injunction Barring Enforcement of the FTC’s Noncompete Ban

In a complete victory for plaintiffs, a Texas court permanently enjoined the Federal Trade Commission’s (FTC) rule banning nearly all employee noncompetes. In the absence of the court’s decision, the rule had been scheduled...more

Pennsylvania Court Denies Injunction Against FTC’s Noncompete Ban

In direct conflict with a recent Texas court ruling, on July 23, an Eastern District of Pennsylvania court denied ATS Tree Services’ motion for a preliminary injunction to stay the effective date of the Federal Trade...more

FTC Bans Employee Noncompete Clauses

The Federal Trade Commission (FTC) voted along party lines (3 to 2) to ban all worker noncompetition provisions. The final rule applies to all employees, including senior executives, and will become effective 120 days after...more

Seventh Circuit Revives McDonald's Employee No-Poach Litigation

In June of 2022, McDonald’s obtained a judgment on the pleadings, ending antitrust litigation challenging the legality of the no-hire restraints it previously included in its franchise agreements. More than a year later, the...more

Fast-Food Chains Agree to End Franchise No-Poach Restrictions

In order to avoid a lawsuit by the Washington State Attorney General, seven fast-food chains with store locations nationwide agreed to no longer enforce “no-poach/no-hire” provisions in their franchise agreements and to...more

Antitrust Division Threatens Criminal Prosecution for Employment Practices: Antitrust Agencies Issue Joint Guidance on Employment...

Even in the absence of an agreement to fix compensation, simply exchanging competitively sensitive information could serve as evidence of an implicit illegal agreement. On October 20, the Department of Justice (DOJ) and...more

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