News & Analysis as of

No-Poaching Department of Justice (DOJ) Franchises

Pillsbury Winthrop Shaw Pittman LLP

New DOJ–FTC Antitrust Guidelines for Business Activities Affecting Workers: Key Changes and Practical Takeaways

While the original guidelines focused primarily on per se illegal wage-fixing and no-poach agreements, the 2025 Guidelines illustrate a significant expansion in enforcement, broadening scrutiny to compensation benchmarking,...more

McCarter & English, LLP

Antitrust Guidelines for Worker-Related Business Practices: How to Stay on the Right Side of Antitrust Hiring Laws During the...

The Department of Justice Antitrust Division (DOJ) and the Federal Trade Commission (FTC) (together, the Agencies) issued Antitrust Guidelines for Business Activities Affecting Workers (2025 Guidelines) in January. The 2025...more

Morrison & Foerster LLP

A Parting Gift to Labor Markets: Outgoing Antitrust Enforcers Issue Revised Guidelines on Practices Affecting Workers, But Will...

In the final days of the Biden administration, the FTC and DOJ jointly issued antitrust guidelines on business practices that impact workers that replace the 2016 Antitrust Guidance for Human Resource Professionals, which...more

Lathrop GPM

Seventh Circuit Reverses Dismissal of Anti-Poaching Class Action Against McDonald’s

Lathrop GPM on

In an important case of first impression that drew amicus participation from the Department of Justice, the Federal Trade Commission, and the International Franchise Association, the Seventh Circuit reversed a judgment in...more

Troutman Pepper Locke

Recent No-Poach Developments: Hold the Pickle, Hold the Dismissal — Eleventh Circuit Overturns Burger King's District Court...

Troutman Pepper Locke on

In early September, the Eleventh Circuit reversed the district court’s judgment for defendants Burger King Corporation, Burger King Worldwide, Inc., and their ultimate parent Restaurant Brands International, Inc....more

Perkins Coie

Antitrust Challenge to McDonald’s No-Poach Restriction Evaluated Under the Rule of Reason

Perkins Coie on

A federal judge in the U.S. District Court for the Northern District of Illinois has held that an antitrust challenge to a “hiring restriction [that] prevented” plaintiff employees “from taking a better-paying position with a...more

Troutman Pepper Locke

Federal Court Denies DOJ's Request to File Statement of Interest in Pending McDonald's No-Poach Class Action

Troutman Pepper Locke on

The Biden administration's Department of Justice, Antitrust Division (DOJ) continues a practice largely begun under the Trump administration of intervening in private litigation and requesting permission to file statements of...more

Stark & Stark

No-Poach Clauses in Franchise Agreements: The Saga Continues in 2022

Stark & Stark on

For the past few years, it seems franchisors have been riding a roller coaster when it comes to no-poach clauses in their franchise agreements. While for a time it seemed as though scrutiny for such clauses might be fading,...more

Fox Rothschild LLP

Reappraisal Of Anti-Poaching And Non-Competes In Franchising (Part 1 Of 2)

Fox Rothschild LLP on

Let’s review the status of activity restrictions in franchise agreements. Do they serve the purpose intended? Are they enforceable? Are they worth it? The Pennsylvania Supreme Court’s decision in Pittsburgh Logistics Systems...more

BakerHostetler

Franchise No-Poach Agreements: Is Reform on The Horizon?

BakerHostetler on

In 2016, the Department of Justice (DOJ) and the Federal Trade Commission (FTC) issued Joint Guidance for Human Resource Professionals warning that no-poach agreements restricting employee hiring may violate the antitrust...more

Seyfarth Shaw LLP

State Attorneys General Urge FTC to Consider Labor Issues in Antitrust Enforcement

Seyfarth Shaw LLP on

A group of 18 state attorneys general (the “AGs”) recently filed comments with the Federal Trade Commission (“FTC”) in advance of a series of hearings centered on changes to antitrust and consumer protection enforcement in...more

Fox Rothschild LLP

No-Poach Provision: The Latest Cause Of Worry To Franchise Systems

Fox Rothschild LLP on

The recent antitrust attacks on no-poach clauses encourage insomnia among franchise lawyers. But is the attack serious or just a flash in the pan, soon to be extinguished? The insomnia began in the tech industry, where...more

Miles & Stockbridge P.C.

No-poach Agreements Continue to Take Center Stage in 2019

‘No-poach’ agreements between businesses not to compete with each other for employees have long been held unlawful under Section 1 of the Sherman Antitrust Act, which prohibits certain restraints on trade and competition....more

Dorsey & Whitney LLP

Employers Beware: Recent Developments in Employee No-Poaching Agreements

Dorsey & Whitney LLP on

No poaching agreements among employers continue to make antitrust news, and employers and their HR professionals need to take note. Whether or not a particular agreement has a valid purpose (such as protecting an employer’s...more

Skadden, Arps, Slate, Meagher & Flom LLP

DOJ Wades Deeper Into No-Poach Advocacy

In early February 2019, the Department of Justice (DOJ) announced its intent to file statements of interest in multiple ongoing private lawsuits to clarify how “no-poach” agreements should be evaluated under the federal...more

Skadden, Arps, Slate, Meagher & Flom LLP

No-Poach Update: DOJ Seeks to Rein In Franchise Suits

Evolving antitrust treatment of so-called “no-poach” agreements continues to offer important guidance for company counsel and human resources professionals. Over the past two years, the Department of Justice (DOJ) has...more

Parker Poe Adams & Bernstein LLP

U.S. Justice Department Would Limit Use of Antitrust Laws to Attack ‘No-Poaching' Agreements

As previously reported in EmployNews, in recent years state attorneys general and private plaintiffs have initiated legal actions against companies that require their franchisees to sign employee “no-poaching” agreements....more

Foley & Lardner LLP

Antitrust Scrutiny of No-Poaching Agreements Continues to Pick Up Steam

Foley & Lardner LLP on

To most people, “poaching” is a bad thing, connoting a mix of elephant hunting and mediocre eggs. But in labor and employment—where “poaching” means recruiting away another employer’s talent—antitrust regulators, legislators,...more

Fox Rothschild LLP

Time To Reconsider No Poaching Agreements? Yes, Emphatically.

Fox Rothschild LLP on

Renewed Efforts to End No Poaching Provisions- Franchisors need to review their franchise agreements and take immediate action in response to the recent onslaught of legal action over “naked no poaching” provisions in...more

Fox Rothschild LLP

Franchisors Face Growing Scrutiny Over ‘No Poaching’ Provisions

Fox Rothschild LLP on

Franchisors need to review their franchise agreements and take immediate action in response to the recent onslaught of legal action over “no poaching” provisions in franchise agreements. In a typical franchise agreement, a...more

Shumaker, Loop & Kendrick, LLP

Employee ‘No Poaching’ Agreements Meet the Antitrust Laws: Protection of Employees in the New Economy

For centuries employers have maintained a strong interest in trying to protect their most valuable asset, their key employees, from solicitation by and loss to other employers, especially competitors. As a result, “no...more

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