In a blog earlier this year, we discussed the Delaware Chancery Court’s refusal to enforce a sale of business non-compete in Kodiak Building Partners, LLC v Adams. We wondered then whether Kodiak represented a one-off...more
Courts and state legislatures continue to take aim at post-employment non-competes. In a companion blog, we recently detailed the Federal Trade Commission’s proposed rule banning post-employment non-competes. However, for...more
On January 5, 2023, the Federal Trade Commission (“FTC”) announced a broad proposed rule that would ban employers from imposing noncompete clauses on their workers. The FTC press release announcing the proposed rule states...more
1/9/2023
/ Biden Administration ,
Employer Liability Issues ,
Employment Contract ,
Executive Orders ,
Federal Trade Commission (FTC) ,
Labor Reform ,
Non-Compete Agreements ,
Proposed Rules ,
Regulatory Agenda ,
Restrictive Covenants ,
Unfair Competition
On August 10, 2022, Colorado House Bill 22-1317 became law. Following the national trend of limiting employer use of non-compete and non-solicit covenants, Colorado now prohibits the use of non-competes and non-solicits...more
9/2/2022
/ Choice-of-Law ,
Choice-of-Venue ,
Colorado ,
Employees ,
Employer Liability Issues ,
Enforcement Actions ,
Highly Compensated Employees ,
New Legislation ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Non-Solicitation Agreements ,
Notice Requirements ,
Restrictive Covenants ,
State and Local Government ,
State Labor Laws
Since President Biden’s July 2021 direction to the Federal Trade Commission (“FTC”) to “curtail the unfair use of non-compete clauses and other clauses or agreements that may unfairly limit worker mobility,” the FTC has...more
Over the past two years, employee mobility seems to be at an all-time high. In fact, the labor market is so fluid that pundits and experts often refer to it as the “Great Resignation.” Although employee mobility can be a...more
On August 13, 2021, Governor Pritzker signed into law a bill amending the Illinois Freedom to Work Act governing restrictive covenants and non-competition agreements. On May 30, 2021, the Illinois General Assembly passed a...more
8/27/2021
/ Employer Liability Issues ,
Employment Contract ,
Enforceability ,
Governor Pritzker ,
Illinois ,
Misappropriation ,
New Legislation ,
Non-Compete Agreements ,
Noncompliance ,
Restrictive Covenants ,
State and Local Government ,
Trade Secrets
Following a nationwide trend, Illinois has proposed significant legislation affecting employee restrictive covenants, such as non-compete agreements. While the proposed law does not dramatically change most aspects of the...more
The various laws, statutes, and policies governing non-compete agreements are nuanced, inconsistent, and sometimes downright contradictory from state-to-state. The issue of consideration is no different. Like other...more
On August 19, 2016, Governor Bruce Rauner officially signed into law the Illinois Freedom to Work Act (the “Act”), with an effective date of January 1, 2017. The Act, while short and to the point, will have a significant...more
9/8/2016
/ Corporate Counsel ,
Employment Contract ,
Fast-Food Industry ,
Freedom To Work Act ,
Hiring & Firing ,
Low-Wage Workers ,
Minimum Wage ,
New Legislation ,
Non-Compete Agreements ,
Restaurant Industry ,
Restrictive Covenants ,
Wage and Hour