A Texas court has set aside the Federal Trade Commission’s (FTC’s) Final Rule banning almost all non-compete clauses days before it was set to take effect on Sept. 4. Ryan LLC v. FTC, No. 3:24-CV-00986-E, 2024 U.S. Dist....more
8/30/2024
/ Federal Bans ,
Federal Trade Commission (FTC) ,
Final Rules ,
Florida ,
FTC Act ,
Injunctions ,
Injunctive Relief ,
Lack of Authority ,
Non-Compete Agreements ,
Preliminary Injunctions ,
Restrictive Covenants ,
Statutory Authority ,
Texas ,
Unfair Competition
Pennsylvania Governor Josh Shapiro has signed the “Fair Contracting for Health Care Practitioners Act” (House Bill 1633), which restricts the ability of employers and healthcare practitioners to enter into non-compete...more
On July 3, 2024, as anticipated, U.S. District Judge Ada Brown of the U.S. District Court for the Northern District of Texas granted Plaintiffs’ and Plaintiff-Intervenors’ motion to stay and preliminarily enjoin the effective...more
On April 23, 2024, the Federal Trade Commission (FTC) issued its final rule prohibiting all non-compete agreements for all employees at all levels, with only extremely limited exceptions. The FTC’s much-anticipated action...more
Maine Governor Janet Mills has vetoed legislation that would have severely restricted the contexts in which Maine employers could use and enforce non-compete agreements. The bill, LD 1496, would have significantly hampered...more
Stemming a tide of Delaware decisions closely scrutinizing and refusing to enforce non-compete agreements, Delaware’s Supreme Court held that forfeiture-for-competition provisions arising out of a Delaware limited partnership...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
2/8/2023
/ Antitrust Division ,
Department of Justice (DOJ) ,
Employment Contract ,
Executive Orders ,
Federal Trade Commission (FTC) ,
FTC Act ,
Joe Biden ,
Non-Compete Agreements ,
Popular ,
Restrictive Covenants ,
Unfair Competition
A bipartisan group of U.S. Senators has reintroduced a bill, dubbed the “Workforce Mobility Act of 2023,” that would largely ban the use of employer non-compete agreements nationwide as a matter of federal law. This follows...more
The Federal Trade Commission (FTC) has issued a Notice of Proposed Rulemaking to broadly ban the use of non-compete covenants throughout the country.
The proposed rule, which would supersede all contrary state laws, is...more
There have been whispers of federal regulation of non-compete agreements for years. Multiple bipartisan bills aiming to ban non-competes have fallen to the wayside without traction. The Federal Trade Commission hosted a...more
The District of Columbia appears poised to join the growing number of nearby states regulating and limiting restrictive covenant agreements in the employment context...more
Restrictive covenant matters rarely make it through the appellate courts. This is true for a number of reasons, including the fact that the time-sensitive nature of restrictive covenant litigation often compels parties to...more
On August 26, 2019, the Delaware Chancery Court invalidated a California employee’s customer and employee non-solicitation covenant on the grounds that it violated California law. In doing so, the Court rejected the plaintiff...more
The New Jersey Appellate Division has clarified the analysis required to determine the effect of restrictive covenant agreements (RCAs) and offered guidance to practitioners drafting RCAs under New Jersey law in a decision on...more
The Massachusetts Noncompetition Agreement Act (Non-Compete Act) has yet to be tested, but its venue provision likely will come under special scrutiny. The venue provision governs the geographical location and forum in which...more
After enacting its non-compete law on April 7, 2016, Utah has twice amended the law to address additional restrictions on non-competes in the broadcasting industry. Governor Gary Herbert signed the second of those amended...more
Earlier this month, a group of six United States Senators made a joint request for the Government Accountability Office (GAO) to investigate the impact of non-compete agreements on workers and the U.S. economy as a whole....more
When implementing restrictive covenant agreements in their workforces, companies often grapple with how best to handle the wide variation in the law from one state to the other. One solution is to include a choice of law...more
Just before midnight on July 31, 2018, the last day of its legislative session, the Massachusetts Legislature passed a significant bill regulating the use of non-compete agreements in the Commonwealth. On August 10, 2018,...more
The Massachusetts Legislature, at long last, has passed a bill regulating the use and enforcement of non-compete agreements in the private sector. Once “An Act relative to the judicial enforcement of noncompetition...more
This Blog has previously covered the six non-compete bills that were introduced in the Massachusetts Legislature in 2017 (See articles dated December 27, 2017, and March 2, 2018). On April 17, 2018, the Joint Committee on...more
In the past week, two states have made modifications to their respective non-compete laws. On March 27, 2018, Utah imposed special restrictions on the use of non-compete agreements in the broadcasting industry. One day...more
The Massachusetts Legislature, after a decade of attempts, may pass restrictions on the use of non-compete covenants in the Commonwealth.
The co-chairmen of the Joint Committee on Labor and Workforce Development, Senator...more
Proposals to restrict the use of non-compete agreements in employment have been introduced in New Hampshire, Pennsylvania, and Vermont.
This appears to be the continuation of a trend that started nearly a year ago. On...more
The Massachusetts Legislature has spent the past several years seeking to regulate the use of restrictive covenant agreements in the Commonwealth. Despite repeatedly falling short in that initiative, the 2017 legislative...more