Kansas Governor Laura Kelly recently signed a bill into law that deems certain nonsolicitation agreements with business owners and employees to be presumptively enforceable and not a restraint on trade. ...more
Employers in Wyoming will soon be limited in their use of noncompete agreements under a newly enacted law that makes the state the latest of a growing number of states to restrict noncompete agreements in the employment...more
The federal government has filed motions to stay two ongoing appeals of rulings that blocked the Federal Trade Commission’s (FTC) rule banning noncompete agreements....more
On February 3, 2025, the Nevada state legislature kicked off its latest legislative session, and state lawmakers are poised to consider several bills that could impact employers and employees, from last day pay provisions to...more
On February 26, 2025, Federal Trade Commission (FTC) Chairman Andrew N. Ferguson directed the agency to form a new “Joint Labor Task Force” that will focus on enforcing federal antitrust laws to protect competition in labor...more
Ohio could become the latest state to join the growing list of jurisdictions to ban or significantly restrict the use of noncompete agreements in employment under bipartisan legislation introduced by a pair of state...more
On November 25, 2024, the Indiana Court of Appeals ruled that a former chief operating officer (COO) at a medical fee collection company did not breach noncompete agreements and a nondisclosure provision when she took a job...more
11/27/2024
/ Appeals ,
Appellate Courts ,
At-Will Employment ,
Contract Terms ,
Corporate Officers ,
Employment Contract ,
Employment Litigation ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Reasonableness Factors ,
Restrictive Covenants
The Federal Trade Commission (FTC) is appealing a Texas federal court ruling that struck down the FTC’s noncompete ban nationally, teeing the case up to be heard by the U.S. Court of Appeals for the Fifth Circuit....more
In another post-McLaren Macomb challenge to common employer/employee agreements, on October 7, 2024, the National Labor Relations Board (NLRB) general counsel (GC) issued a memorandum warning employers that the GC views...more
A Pennsylvania company has dropped its challenge to the Federal Trade Commission’s (FTC) noncompete ban after a Pennsylvania federal judge denied the company’s bid to block the rule. The dismissal of the Pennsylvania lawsuit...more
10/9/2024
/ Dismissals ,
Employment Contract ,
Federal Bans ,
Federal Trade Commission (FTC) ,
Final Rules ,
Non-Compete Agreements ,
Pending Litigation ,
Preliminary Injunctions ,
Restrictive Covenants ,
Statutory Authority ,
Unfair Competition
The Federal Trade Commission (FTC) is appealing a Florida federal court ruling temporarily blocking the FTC’s noncompete ban a month after a Texas federal judge in a separate case blocked the FTC’s ban on a nationwide basis....more
One of the main reasons for a separation agreement with an employee is to obtain an effective release of claims against the employer. However, ensuring release agreements are effective and enforceable is becoming increasingly...more
9/19/2024
/ Contract Drafting ,
Contract Terms ,
Employer Liability Issues ,
Employment Contract ,
Hiring & Firing ,
Human Resources Professionals ,
Multistate Employers ,
Release of Claims ,
Restrictive Covenants ,
Separation Agreement ,
Severance Agreements ,
Standard Form Contracts ,
Termination ,
Voluntary Reduction in Force
On June 13, 2024, an administrative law judge (ALJ) for the National Labor Relations Board (NLRB) ruled that overly broad noncompete and nonsolicitation provisions in an employment agreement violated an employee’s labor...more
New York City lawmakers are considering a measure that would make the city the latest jurisdiction to ban noncompete agreements between employers and their employees, after Governor Kathy Hochul in December 2023 vetoed a...more
Under a new law passed in October 2023, California employers must provide all current and certain former California employees with individualized written notices by February 14, 2024, advising them that any noncompete clauses...more
The U.S. Securities and Exchange Commission (SEC) in recent years has taken an aggressive stance against employers over employment agreements that the agency believes impede its whistleblower program—as highlighted by a $10...more
1/29/2024
/ Confidentiality Agreements ,
Contract Terms ,
Employer Liability Issues ,
Employment Contract ,
Enforcement Actions ,
Non-Disclosure Agreement ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Violations ,
Whistleblower Protection Policies ,
Whistleblowers
On October 13, 2023, California Governor Gavin Newsom signed a bill into law that will reinforce the state’s ban on noncompete agreements in employment by making it unlawful for employers to mandate that employees sign...more
A recently enacted New York State law that took effect immediately restricts employers’ use of employment agreements which require that employees assign to their employer rights to inventions that were created by the employee...more
In a recent decision, a Georgia appellate panel held that an employee nonsolicitation covenant that limits what parties can do following the end of a business relationship must have an explicit geographic limitation to be...more
The Rhode Island legislature recently moved two bills forward that would limit employers’ use of restrictive covenants with employees. On June 19, 2023, the Rhode Island House of Representatives passed a bill, Senate Bill (S)...more
On June 23, 2023, the Supreme Court of the United States held district court proceedings must be put on hold during an appeal on the question of whether claims are subject to arbitration. The ruling is a big win for...more
6/26/2023
/ Appeals ,
Arbitration ,
Arbitration Agreements ,
Class Action ,
Coinbase Inc v Bielski ,
Employment Contract ,
Federal Arbitration Act ,
Interlocutory Appeals ,
Jurisdiction ,
Mandatory Arbitration Clauses ,
Motion to Compel ,
Split of Authority ,
Stays
A recently passed Missouri bill included some amendments added at the last minute that may have significant implications for restrictive covenants—such as nonsolicitation and noninterference provisions—that are commonly used...more
On May 24, 2023, Minnesota Governor Tim Walz signed into law a sweeping omnibus jobs and economic development and labor funding bill that will invest $500 million in a fund to match federal investments in infrastructure and...more
On May 17, 2023, the Minnesota state legislature passed an omnibus jobs and economic development and labor funding bill that could have serious implications for employers in the state, including a ban on noncompete clauses,...more
5/22/2023
/ Contract Terms ,
Employment Contract ,
Governor Walz ,
Non-Compete Agreements ,
Paid Sick Leave ,
Pending Legislation ,
Pregnancy ,
Reasonable Accommodation ,
Restrictive Covenants ,
State Labor Laws ,
Workplace Safety
Minnesota is set to ban noncompete provisions in employment contracts as part of a new omnibus bill headed to Governor Tim Walz’s desk. The bill will have a significant impact on Minnesota employers by banning true employment...more