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Federal Trade Commission (FTC) Section 5 Non-Compete Agreements

A&O Shearman

District Courts Split On Federal Trade Commission’s Non-Compete Clause Rule

A&O Shearman on

On July 23, 2024, Judge Kelley Brisbon Hodge of the United States District Court for the Eastern District of Pennsylvania denied plaintiff’s motion for a preliminary injunction seeking to enjoin the Federal Trade Commission...more

Faegre Drinker Biddle & Reath LLP

Recent Decisions in Noncompete Cases Expose Deep Divides in Opposing Visions for Antitrust Enforcement

On July 3, 2024, plaintiffs in Ryan LLC v. Federal Trade Commission won their first significant victory in their noncompete case against the Federal Trade Commission (FTC) when Judge Ada Brown of the Northern District of...more

Troutman Pepper

Pennsylvania Court Denies Injunction Against FTC’s Noncompete Ban

Troutman Pepper on

In direct conflict with a recent Texas court ruling, on July 23, an Eastern District of Pennsylvania court denied ATS Tree Services’ motion for a preliminary injunction to stay the effective date of the Federal Trade...more

A&O Shearman

Plaintiffs Win Preliminary Injunction Blocking The FTC’s Ban On Non-Competes

A&O Shearman on

The Court concluded that the FTC exceeded its statutory authority in promulgating the Rule, which prohibits new non-compete agreements and releases most workers from existing restrictions.  Opinion at 6, 19.  The FTC...more

WilmerHale

Antitrust Updates: The FTC's Non-Compete Rule and the Impact of Loper Bright on Federal Antitrust Enforcement

WilmerHale on

On June 28, the Supreme Court handed down its decision in Loper Bright Enterprises v. Raimondo, overruling Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc. In its 1984 Chevron decision, the Court held that...more

Goodwin

Federal Court Preliminarily Enjoins Enforcement of the FTC Non-Compete Rule, but Only for the Plaintiffs: What Are the...

Goodwin on

On April 23, 2024, the Federal Trade Commission (the “FTC”) issued a rule banning most post-employment non-competition agreements (the “FTC Rule”). Since its promulgation, the FTC Rule has been subject to legal challenges....more

Hogan Lovells

Texas Federal Court grants preliminary injunction blocking FTC rule banning non-compete agreements

Hogan Lovells on

On July 3, 2024, a Texas federal judge issued a preliminary injunction postponing the September 4, 2024 effective date of the Federal Trade Commission (FTC)’s final rule banning non-compete agreements (the Non-Compete Rule)...more

Seyfarth Shaw LLP

FTC Non-Compete Ban: What You Need to Know (UPDATED)

Seyfarth Shaw LLP on

On April 23, 2024, the FTC announced its Final Non-Compete Clause Rule (“Final Rule”), which bans post-employment non-compete clauses between employers and their workers. The Final Rule becomes effective 120 days after being...more

BakerHostetler

How FTC History Did Not Affect the FTC’s Approach to Non-Competes (but Should Have?): From the Nader Report to the Present

BakerHostetler on

On April 23, the FTC issued its much-anticipated Final Rule banning worker non-competes. The Final Rule targets the Biden administration’s goal of reducing barriers to employee mobility....more

Seyfarth Shaw LLP

Lawsuits Filed To Block FTC’s Non-Compete Ban

Seyfarth Shaw LLP on

At least three lawsuits have now been filed against the FTC to block implementation of its new rule to ban non-competes....more

Troutman Pepper

Implications of the FTC’s Noncompete Ban on Financial Institutions

Troutman Pepper on

There has been a great deal of press about the Federal Trade Commission’s (FTC) vote to ban employee non-competition provisions and policies. While the FTC describes the rule as a comprehensive ban, it acknowledges that the...more

Bradley Arant Boult Cummings LLP

FTC Moves to Strike Most Noncompetes: Considerations for Cannabis Companies

As Bradley previously reported, the Federal Trade Commission at the beginning of last year issued a notice of proposed rulemaking to effectively ban employee noncompete provisions as an unfair method of competition in...more

Jenner & Block

Client Alert: FTC Finalizes Near Total Ban of Noncompetes – How You Can Prepare Now

Jenner & Block on

FTC Votes in Favor of Issuing Final Rule. On April 23, 2024, the Federal Trade Commission (“FTC”) voted in favor of issuing its final rule which essentially bans all noncompetes going forward and invalidates most...more

McDermott Will & Emery

FTC Issues Rule Banning Worker Noncompete Agreements

McDermott Will & Emery on

On April 23, 2024, the Federal Trade Commission (FTC) voted 3-2 along party lines to ban all new noncompete agreements nationwide and render existing noncompete agreements binding most workers unenforceable. The Final Rule,...more

Bowditch & Dewey

New FTC Rule Imposes Sweeping Ban on Non-Compete Agreements with Workers

Bowditch & Dewey on

In January of 2023, Bowditch alerted clients that the Federal Trade Commission (“FTC”) was proposing a sweeping new rule that would ban the use of virtually all non-compete agreements and have a seismic effect on employment...more

Bradley Arant Boult Cummings LLP

Noncompetes Gone! FTC Issues Final Rule Banning Noncompete Clauses Nationwide

On April 23, 2024, the Federal Trade Commission issued a broad Final Rule that effectively bans noncompete clauses nationwide. The FTC states that noncompete clauses are an unfair method of competition and violate Section 5...more

Moore & Van Allen PLLC

The FTC Votes to Ban Non-Compete Agreements

Moore & Van Allen PLLC on

The Federal Trade Commission voted 3-2 today to approve a final rule banning non-compete agreements nationwide. The rule is slated to go into effect 120 days after its published in the Federal Register....more

White & Case LLP

Uncertainty Remains More Than One Year After the FTC Announces New “Unfair Methods of Competition” Policy

White & Case LLP on

On November 10, 2022, the Federal Trade Commission announced a significant change in how the FTC plans to enforce Section 5 of the FTC Act, which bans "unfair methods of competition in or affecting commerce." In doing so, the...more

McGuireWoods LLP

Questions Surround Federal Trade Commission’s Authority to Issue Non-Compete Clause Rule

McGuireWoods LLP on

With the public comment period coming to a close, business groups and others have made statements and submitted public comments criticizing the Federal Trade Commission’s (FTC’s) proposed rule to ban non-compete clauses as an...more

Kelley Drye & Warren LLP

The Federal Trade Commission Enters the Noncompete Political Arena

The political battle around noncompetes just got a major boost from the Federal Trade Commission (FTC or Commission). In a bold new move, the Commission announced a historic new rule that would ban nearly all noncompetes...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

Fisher Phillips

Businesses Have About a Month Left to Submit Comments on the FTC’s Proposed Non-Compete Clause Rule

Fisher Phillips on

Employers have about a month left if they want to submit a formal comment to the federal government about the proposal that would ban most noncompetition agreements and force you to rescind existing agreements – but should...more

Manatt, Phelps & Phillips, LLP

FTC Proposes Ban on Noncompetes

Starting 2023 off with a bang, the Federal Trade Commission (FTC) proposed a new rule that would ban employers from the use of noncompete agreements....more

BCLP

A Noisy Exit by FTC Commissioner Wilson

BCLP on

Commissioner Christine Wilson announced her resignation from the Federal Trade Commission (“FTC”) on February 14, 2023 in a Wall Street Journal Op-Ed. Commissioner Wilson’s very public resignation confirms the deep divide...more

Groom Law Group, Chartered

With Proposed Non-Compete Ban, the FTC Joins the Executive Compensation Regulatory Landscape

Employers are accustomed to following rules related to executive compensation from the DOL, IRS, and SEC.  It may be time to add a new acronym to the list – the Federal Trade Commission (“FTC”)....more

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