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On August 20, a federal judge in the Northern District of Texas ruled that the Federal Trade Commission (“FTC”) cannot enforce its rule banning the use of non-compete agreements for most workers. Significantly, the court...more
As readers of this blog know, this past Spring, the Federal Trade Commission (FTC) issued its final Non-Compete Clause Rule (the “Non-Compete Rule”) in late April 2024, purporting to ban nearly all employment-related...more
As an update to our April 25, 2024 Client Alert, “FTC Issues New Rule—But Not the Final Chapter—on Non-Competes: What Employers Need to Know,” a federal court in Dallas, Texas has blocked the Federal Trade Commission’s Rule...more
30 million is a BIG number! That is the estimated number of employment contracts that could be impacted by the Federal Trade Commission’s new rule banning non-competes, if it goes into effect on September 4, 2024, as...more
Winstead’s Labor & Employment team previously reported that the Federal Trade Commission (“FTC”) issued its final rule largely banning noncompetes nationwide (“Rule”), spurring races to the courthouse in the federal district...more
On April 23, 2024, the Federal Trade Commission finalized its rule enforcing a noncompete ban for a vast majority of workers. The noncompete ban is set to take effect on September 4, 2024. With limited exceptions, the rule...more
On July 23, 2024, U.S. District Court Judge Kelley Brisbon Hodge (E.D. Pa) denied the request of ATS Tree Services, LLC (ATS).[1], a tree care company operating in Eastern Pennsylvania, for issuance of a stay of the Sept. 4,...more
As discussed in our previous article, the Federal Trade Commission’s (“FTC”) newly enacted Non-Compete Clause Rule (“Rule”) is set to go into effect on September 4, 2024, by its own terms. The Rule would virtually ban all...more
Earlier this month, we reported on a preliminary injunction granted to the plaintiffs in a lawsuit filed in federal district court in Texas, seeking to block the Federal Trade Commission’s regulations voiding most employment...more
A final rule issued by the Federal Trade Commission (FTC) bans employers from entering into new non-compete agreements with all workers. If the FTC can overcome the legal hurdles it faces, the rule could have damaging...more
In Ryan LLC v. Federal Trade Commission, the U.S. District Court for the Northern District of Texas enjoined the FTC from implementing or enforcing its noncompete ban (the “Final Rule”) mainly on the grounds that it exceeds...more
We previously reported that Ryan LLC (“Plaintiff”) and the United States Chamber of Commerce (“Plaintiff-Intervenor”), in anticipation of the Northern District of Texas’s merits disposition, would likely seek nationwide...more
As we explained in a previous client alert, the Federal Trade Commission ("FTC") has published a proposed final rule that would ban nearly all worker non-competes. The rule was published on May 7, 2024, and will go into...more
Last week, we received the first indication of a Texas federal court’s position on a lawsuit filed by the U.S. Chamber of Commerce challenging the validity of the Federal Trade Commission’s new regulations banning most...more
Almost immediately after the Federal Trade Commission (FTC) issued its rule essentially banning non-compete agreements nationwide for all workers, the lawsuits started flying. One of the first cases filed was by Ryan, LLC...more
On July 3, 2024, a United States District Judge for the Northern District of Texas granted a stay and preliminary injunction on the United States Federal Trade Commission’s near-total ban on noncompete agreements. See Ryan v....more
The Federal Trade Commission’s (FTC) attempt at a nationwide ban on employee non-compete agreements suffered its first setback last week when a Texas federal district court preliminarily enjoined enforcement of the rule....more
On July 3, 2024, a federal court in the Northern District of Texas issued an injunction against enforcement of the Federal Trade Commission’s rule banning non-compete agreements (the “Rule”). The Rule was to become effective...more
On July 3, 2024, as anticipated, U.S. District Judge Ada Brown of the U.S. District Court for the Northern District of Texas granted Plaintiffs’ and Plaintiff-Intervenors’ motion to stay and preliminarily enjoin the effective...more
A federal judge in Texas has issued a preliminary injunction against a Final Rule issued by the Federal Trade Commission that would ban virtually all noncompetition agreements between employers and employees. The judge...more
On Wednesday, July 3, the U.S. District Court for the Northern District of Texas in Ryan, LLC v. Federal Trade Commission granted a limited stay of the effective date for the Federal Trade Commission’s (FTC) final rule on...more
On July 3, 2024, Non-Compete Agreementa federal judge in Texas issued a preliminary injunction that stays the US Federal Trade Commission’s (FTC) near-total ban on non-compete agreements for the named plaintiffs seeking to...more
As we previously addressed, on April 24, 2024, the Federal Trade Commission (“FTC”) voted to finalize its rule prohibiting businesses from entering into or enforcing non-compete clauses in nearly all agreements with workers...more
On July 3, 2024, the U.S. District Court for the Northern District of Texas entered an order enjoining the enforcement of a rule established by the Federal Trade Commission (FTC) abolishing the vast majority of employee...more
The Federal Trade Commission (FTC) issued a much-debated “Final Rule” earlier this year that banned most noncompete agreement nationwide. In support of its position, the FTC declared that such agreements are an “unfair method...more