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California Employment News: Understanding the FTC Non-Compete Ban Key Insights for Employers (Podcast)
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Put down the lemonade and break out the pumpkin spice: summer is coming to an end. And while you were in the pool – or maybe just answering emails poolside – the antitrust agencies showed no signs of a summer slowdown. Before...more
On Aug. 28, 2024, the Department of Justice Antitrust Division (DOJ), the Federal Trade Commission (FTC), the Department of Labor (DOL), and the National Labor Relations Board (NLRB) signed a Memorandum of Understanding on...more
On April 23, 2024, the Federal Trade Commission (FTC) voted 3-2 to issue a final rule that would ban virtually all non-compete agreements for nearly all workers of for-profit employers. Commissioners Melissa Holyoak and...more
Labor markets have been a focus of antitrust regulators at the Department of Justice (DOJ) and Federal Trade Commission (FTC) since the Obama administration. Indications are that enforcers will be even more aggressive across...more
2023 was a banner year for trade secrets, non-competes, and other restrictive covenants. Employee non-competes continued to garner attention at the federal agency level, drawing commentary and action from the Federal Trade...more
Historically, enforcement of noncompete agreements has been a subject of state law, not federal law. States have taken many different approaches to the agreements. A few states have enacted laws that ban the enforcement of...more
Corporates and deal teams should pay careful attention to drafting non-competes and other restrictive arrangements as UK, EU, and US regulators step up enforcement. Regulators on both sides of the Atlantic are placing...more
Welcome to our Q2 Trade Secret and Restrictive Covenant Update. As you can tell from the update, Q2 was a busy quarter in this space from both a regulatory, legislative, civil litigation and criminal litigation perspective....more
As we have often discussed, the National Labor Relations Board under the Biden administration has prioritized expanding employees’ rights under Section 7 of the National Labor Relations Act (the “Act”). Most recently, in GC...more
While mergers and acquisitions, and attendant financings may not be at a blistering pace globally, the prognosis for deal activity in the healthcare sector remains healthy, in particular as the consolidation of providers, the...more
On May 30, 2023, the General Counsel of the National Labor Relations Board (“NLRB”) issued a memorandum (the “Memorandum”) to all NLRB Regional Directors, Officers-in-Charge, and Resident Officers concluding that most...more
Can non-compete agreements lead to criminal fines—or even jail time? Yes, they can. That is because violating the Sherman Antitrust Act can result in criminal charges, not just civil liability....more
The Federal Trade Commission (the “FTC”) and Department of Justice, Antitrust Division (the “DOJ”) (together the “Agencies”) continue to carry out the Biden Administration’s stated mission to reinvigorate antitrust...more
The Impact of the FTC’s Proposed Sweeping Ban on Non-Competes - On January 5, 2023, the United States Federal Trade Commission (FTC) proposed a new rule (the Proposed Rule) that would define an employer’s use of...more
At the end of last year, the US Department of Justice (DOJ) secured a guilty plea for wage fixing, resulting in its first criminal conviction with Assistant Attorney General Jonathan Kanter saying: “[t]oday’s guilty plea...more
The Federal Trade Commission (FTC) has proposed a paradigm-breaking rule that would ban essentially all non-compete agreements. If enacted, this rule would purport to override tens of millions of contracts in every sector of...more
On the heels of the Federal Trade Commission’s (FTC) January 5, 2023 proposed rule banning noncompetes, Manatt’s antitrust and employment law attorneys will provide a comprehensive overview of the stepped-up efforts to tamp...more
The FTC recently concluded that many noncompete agreements between employers and employees violate federal antitrust law. These actions represent a rejection of the centuries-old principle that noncompete provisions are...more
On January 5, 2023, the Federal Trade Commission announced a proposed rule that, if enacted, would amount to a near-total ban on the use of non-compete agreements and leave employers with fewer legal means of protecting their...more
The FTC Breaks its Silence Following Biden’s Executive Order - On January 5, 2023, the Federal Trade Commission (FTC) proposed a sweeping new rule which, if enacted in its draft form, would ban virtually all...more
On January 5, 2023, the Federal Trade Commission (FTC) issued a proposed rule broadly seeking to ban non-compete agreements with nearly all U.S. workers, with only limited exceptions. The proposed rule would: •make it...more
Compared to Q1 and Q2 of 2022, Q3 was relatively slow with respect to trade secret legislation and significant restrictive covenant awards and/or case law. Still, and as described below, two new statutes require a company’s...more
The current labor market is fraught with challenges for employers. In the wake of the COVID-19 market disruptions, the demand for employees, especially for experienced or highly trained employees, far exceeds the supply....more
On March 7, 2022, the US Department of the Treasury issued a report entitled “The State of Labor Competition,” (the “Report”) making clear once again that the regulation of anti-competitive practices, including curtailing the...more