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What's the Tea in L&E? Alert: Non-Compete Agreements Largely Banned by New FTC Rule
As we discussed in our previous blog on non-competes (as well as other types of restraint of trade), the move to add regulation has been gaining momentum since Federal Treasurer Jim Chalmers announced in August 2023 a...more
It seems like death by a thousand cuts. In August last year, Federal Treasurer Jim Chalmers announced a Competition Review to examine competition laws, policies and institutions to focus on reforms that would increase...more
Q: Is New York City considering a total ban on noncompete agreements? A: Yes — a total ban on noncompete agreements would be the result of one of the three noncompete bills currently pending in the New York City Council,...more
Non-competition agreements are not doing so hot. Recently, more states have outlawed or tightened restrictions on them, and the federal government has stepped into the fray in policing them. For example, the Federal Trade...more
On April 16, the Federal Trade Commission (FTC) announced that it will hold a special Open Commission Meeting on Tuesday, April 23 at 2:00 p.m. ET, for purposes of voting on its proposed final rule banning noncompete...more
On April 16, 2024, the FTC announced the agency will hold a special Open Commission Meeting at 2 p.m. (Eastern) on April 23 to vote on its proposed rule to ban the use of non-compete provisions in the employment context...more
For years there has been much discussion in the Netherlands about the non-compete clause, which also includes the non-solicitation clause. These clauses were often included in employment contracts, restricting employees’...more
Seyfarth Synopsis: While New York State failed to pass a non-compete ban last year, a new bill in the New York City Council would eliminate non-compete agreements entirely, presenting new challenges and considerations for...more
On January 18, 2024, the Belgium government submitted a draft law that would require employers to justify their decisions to dismiss contractual employees in the public sector. The draft law aims to implement the Act of 26...more
On December 22, 2023, New York Governor Kathy Hochul vetoed S3100, a bill which would have prohibited virtually all contractual noncompete agreements restricting workers’ ability to leave their job for a role with a rival...more
The third quarter of 2023 has been pretty exciting as far as employment lawyers are concerned. Substantial regulations have been proposed and the pressure from federal agencies continues to rise. We will talk about some of...more
Join us Wednesday, September 13 at noon for our Ninth Annual Labor & Employment Fall Seminar. This year’s event will be livestreamed from our Chicago office. Our attorneys will discuss the latest employment law updates...more
Seyfarth Synopsis: The New York State Assembly has joined the State Senate in passing legislation to prohibit non-compete clauses in employment contracts. The bill now heads to the Governor and, if signed into law, would void...more
On May 30, 2023, Jennifer Abruzzo, General Counsel for the National Labor Relations Board (the “NLRB”), issued a memo arguing that requiring employees to sign non-competition agreements violates the National Labor Relations...more
Following up on an earlier blog post outlining the United States Federal Trade Commission’s (“FTC”) increased regulatory action against non-compete agreements in employment contracts, a view across the pond reveals that...more
On January 5, 2023, the Federal Trade Commission (FTC) announced a proposed rule that, if enacted, would amount to a near-total ban on the use of non-compete agreements nationwide. If enacted as written, the FTC’s proposed...more
Exception to FTC Proposal Although the Federal Trade Commission (FTC) has proposed a ban on non-compete agreements, the proposal contains an exception in certain business acquisitions where the seller enters into a...more
Only three months after the introduction of a bill to the House of Representatives that, if passed, will ban non-compete agreements nationwide for non-exempt employees, on January 5, 2023, the Federal Trade Commission (“FTC”)...more
For many employers, a new year is a new opportunity to update policies, procedures, and agreements—including restrictive covenants. In addition to ensuring compliance with applicable state requirements as to timing,...more
The Federal Trade Commission’s (“FTC”) threats of “cracking down” on non-competition agreements transformed into actual action with two dramatic moves this week. First, on January 4, the FTC ordered three companies,...more
On January 5, 2023, the FTC issued a Notice of Proposed Rulemaking (“proposed Rule”) that would ban most non-competition agreements in the United States and put to the wastebin the 50-state patchwork of laws that currently...more
On January 5, 2023, the Federal Trade Commission (FTC) announced a proposed regulation that, if adopted, would essentially abolish employee noncompetes across the United States. A proposed FTC regulation on employee...more
On January 5, 2023, the Federal Trade Commission (FTC) proposed a radical and unprecedented rule that would prohibit employers from entering noncompete clauses with their workers. This follows the initiation of a landmark FTC...more
The New Year has certainly started with a bang at the Federal Trade Commission (FTC). First, the agency announced enforcement actions against three employers prohibiting those companies from using non-competition agreements...more
On January 5, 2023, the Federal Trade Commission (FTC) proposed a New Rule to ban noncompete clauses, which “hurt workers and harm competition.” The FTC’s proposed new rule builds upon President Biden’s Executive Order on...more