News & Analysis as of

Employment Contract Non-Compete Agreements Department of Justice (DOJ)

ArentFox Schiff

Top 10 Legal Challenges for Employers

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With 2024 underway, we highlight some of the most pressing legal issues facing employers this year, including increased regulation of noncompetition agreements, new paid family and medical leave laws, a new Overtime Rule, and...more

Ballard Spahr LLP

FDIC Proposes Limitations on Use of Non-Competes

Ballard Spahr LLP on

On March 21, 2024, the Federal Deposit Insurance Corporation (“FDIC”) issued its proposed Statement of Policy on Bank Merger Transactions (the “Proposal”) for public comment. The Proposal seeks to update guidance, last...more

ArentFox Schiff

2023 Trade Secrets End of Year Report

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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

Clark Hill PLC

The Attack on Employment Noncompetes: The Status of Federal Initiatives

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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

DarrowEverett LLP

Q3 Employment Law Updates: Enforcement Actions Bring Much for Employers to Consider

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The third quarter of 2023 has been pretty exciting as far as employment lawyers are concerned. Substantial regulations have been proposed and the pressure from federal agencies continues to rise. We will talk about some of...more

Latham & Watkins LLP

Restrictive Covenant Crackdown Poses New Challenges for M&A Deal Teams

Latham & Watkins LLP on

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

Spilman Thomas & Battle, PLLC

NLRB’s GC Piles on to Increase Regulatory Scrutiny of Non-Compete Agreements

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

Ogletree, Deakins, Nash, Smoak & Stewart,...

Can Non-Compete Agreements Lead to Jail Time?

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

Goodwin

Antitrust and Competition Healthcare Quarterly Update Q4 2022

Goodwin on

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

Eversheds Sutherland (US) LLP

Competition authorities crackdown on employment markets: a new era for cartels

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

Jackson Lewis P.C.

Against the Evidence: How the FTC Cast Aside the Input of Experts at Its Own Non-Compete Workshop

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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

Lowenstein Sandler LLP

FTC Proposes to Ban Employee Noncompete Agreements – January 31, 2023 Update

Lowenstein Sandler LLP on

Updated as of January 31, 2023- The Federal Trade Commission (“FTC”) proposed a rule (the “Proposed Rule”) that would prohibit companies from imposing post-employment noncompete agreements. If enacted, the Proposed Rule...more

Paul Hastings LLP

FTC Condemns Noncompetes: An Antitrust Perspective on Practical Next Steps for Companies

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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

Husch Blackwell LLP

FTC Proposes Nationwide Ban on Non-Compete Agreements

Husch Blackwell LLP on

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

Benesch

Trade Secrets/Non-Compete Quarterly Update - Q3 2022

Benesch on

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

Jenner & Block

Latest Decisions in Criminal No-Poach and Civil Non-Compete Cases Indicate Continuing Scrutiny of Restrictive Covenants

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Parties in Criminal No-Poach Case Reach Pre-Trial Resolution - Recently, the parties in United States v. Hee notified District Court Judge Boulware of the District of Nevada that they reached a preliminary plea deal. The...more

Holland & Knight LLP

Employee Talent Wars Gain Unprecedented Ammunition from Changing Antitrust Landscape

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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

Polsinelli

DOJ’s Increased Focus on Antitrust Calls into Question Noncompetition Agreements

Polsinelli on

The Department of Justice (DOJ) and federal government continue to aggressively pursue antitrust violations and promote the federal government’s interest in heavily limiting the use of non-competition agreements.  While the...more

K&L Gates LLP

Federal Agencies Signal Further Hostility Towards Noncompetition Agreements

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On 9 July 2021, President Biden issued an executive order (EO) tasking the Treasury Department, in combination with the Department of Justice (DOJ), the Department of Labor (DOL), and the Federal Trade Commission, with...more

Benesch

Just like 2021, the DOJ and FTC will remain active in the Restrictive Covenant Space

Benesch on

2021 saw significant activity by both the Department of Justice (“DOJ”) and Federal Trade Commission (“FTC”) in 2021. The DOJ, for example, finally followed through on its 2016 warning/threat to investigate and potentially...more

Jackson Lewis P.C.

Reaction and Response to the FTC & DOJ Workshop on Labor Market Competition

Jackson Lewis P.C. on

The Federal Trade Commission (FTC) and the Department of Justice (DOJ) hosted a virtual workshop on December 6-7, 2021, bringing together agency representatives, lawyers, economists, academics, and other experts to discuss...more

Proskauer - Law and the Workplace

FTC and DOJ Hold Workshop On Non-Compete Agreements

As we reported this past summer, President Biden signed an Executive Order titled “Promoting Competition in the American Economy.” At the time, President Biden urged the chair of the Federal Trade Commission (the “FTC”) to...more

Foley & Lardner LLP

FTC Announces First Step Towards Regulation of Employee Non-Competes

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As we have noted previously, on July 9, President Biden signed an Executive Order on Promoting Competition in the American Economy. Among many other things, this Executive Order calls on the Federal Trade Commission (FTC) to...more

Womble Bond Dickinson

Opportunity Economy: Risks in Antitrust Enforcement

Womble Bond Dickinson on

Takeaways - ..The Biden administration’s recent executive order takes a hard line on limits to employment mobility, such as non-compete agreements. ..No-poach agreements—companies agreeing not to recruit each other’s...more

Benesch

Are Non-Compete Covenants Likely to Become Unenforceable after the Issuance of the Biden Administration’s Executive Order? Don’t...

Benesch on

On July 9, 2021, President Biden signed a sweeping Executive Order (“EO”) intended to promote competition in a number of sectors of the economy, including healthcare. The EO targets 4 areas of healthcare in particular -...more

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