Comment Deadline Extended for Prospective FTC Rulemaking on the Use and Enforcement of Non-Competes

Arent Fox

Arent Fox

As noted in an earlier Alert, on January 9, 2020, the Federal Trade Commission held a public workshop and invited public comments on whether the FTC should issue a rule that would restrict or prohibit the use of non-competes in employment contracts.

The FTC has asked that public comments address:

  1. Whether or to what extent the agency should use its rulemaking authority under Section 5 of the FTC Act to regulate non-compete provisions in employment contracts; and
  2. The appropriate scope and terms of any FTC rule governing non-competes. On January 28, 2020, the FTC issued a press release extending the deadline for public comments from February 10, 2020 to March 11, 2020.

Additional information regarding the comment period and the recent FTC workshop on the issue may be found here.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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