News & Analysis as of

No-Poaching Sherman Act Enforcement Actions

Axinn, Veltrop & Harkrider LLP

A Labor of Love: Trump DOJ Obtains First Guilty Verdict in a Criminal Labor Case

In October 2016, the Obama Administration announced that it would criminally prosecute no-poach and wage-fixing agreements among competitors for talent. Starting in December 2020, through the Trump and Biden Administrations,...more

Mogin Law LLP

Biden Antitrust Teams' Reminders for Employers. Will Trump 2.0 Care?

Mogin Law LLP on

In the closing days of the Biden administration, antitrust law enforcers issued cautions to employers about conduct that could draw criminal charges against them. One is the use of restrictive non-disclosure agreements that...more

Littler

Federal and State Authorities Bring Antitrust Enforcement to the Contingent Workforce Sector

Littler on

The U.S. Department of Justice (DOJ), Federal Trade Commission (FTC), and now state attorneys general, have set their sights on staffing companies in their evolving efforts to examine labor markets through an antitrust lens....more

Ballard Spahr LLP

DOJ Gives Up on Its Sole Remaining Criminal No-Poach Prosecution

Ballard Spahr LLP on

Summary - Following a string of unsuccessful prosecutions in the labor space, the DOJ Antitrust Division moved this week to dismiss its last indicted criminal no-poach case, which had been pending against Surgical Care...more

Quarles & Brady LLP

Seventh Circuit Rejects Dismissal of Franchisee No-Poach Clause Challenge

Quarles & Brady LLP on

In Deslandes v. McDonald’s USA LLC, issued August 25, 2023, the U.S. Court of Appeals for the Seventh Circuit overturned the dismissal of antitrust claims that challenged no-poach clauses in franchise agreements....more

Skadden, Arps, Slate, Meagher & Flom LLP

Are the FTC and DOJ Losing Antitrust Battles but Gaining Ground?

The Department of Justice (DOJ) Antitrust Division — for the third time in the span of a year — recently failed to convince a jury that alleged agreements to fix or stabilize labor markets should be punished criminally. It...more

Bilzin Sumberg

Eleventh Circuit Revives Putative Class Action Against Burger King for Violation of Federal Antitrust Laws Based on No-Poaching...

Bilzin Sumberg on

Arrington v. Burger King Worldwide, Inc., No. 20-13561 (11th Cir. Aug. 31, 2022) – In October 2018, a former line cook of a Burger King franchise restaurant in Illinois, filed a class action complaint in the District Court...more

Frantz Ward LLP

Unlocking the Handcuffs: Department of Justice Obtains Guilty Plea in “No-Poach” Hiring Agreement Case

Frantz Ward LLP on

The Department of Justice has claimed its first victory in attacking “no-poach” agreements after a Nevada staffing company pled guilty and was sentenced to pay $134,000.  The case arose out of a concerted effort by the...more

King & Spalding

Poultry Processors Agree to Pay $85 Million to Resolve Allegations of Wage Fixing by DOJ

King & Spalding on

After a string of losses by the Department of Justice Antitrust Division (the “Division”) in no-poach and wage fixing litigations, including a wage-fixing antitrust case in the physical therapy industry in April, the...more

Jenner & Block

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

Jenner & Block on

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

Robinson & Cole LLP

Limiting Antitrust Exposure in the Employment Setting

Robinson & Cole LLP on

In what has commonly been referred to as the “Great Resignation,” nearly 50 million people voluntarily resigned from their jobs in 2021. The majority of those resigning sought a higher paying or better opportunity with...more

Jenner & Block

Department of Justice Prosecutions in Employment-Related Antitrust Suits Fall Flat in DaVita Inc. and Jindal

Jenner & Block on

Juries Acquit Criminal Antitrust Defendants of All Charges - This month, federal juries acquitted defendants facing criminal antitrust convictions in two trials against employers accused of improperly restraining trade in...more

McDermott Will & Emery

Views and Lessons from the Trenches of the First Criminal No-Poach Trial

McDermott Will & Emery on

In a landmark case of first impression, the US Department of Justice’s (DOJ) Antitrust Division (Division) indicted and brought to trial a federal criminal prosecution alleging agreements between DaVita, Inc., its former CEO...more

Epstein Becker & Green

DOJ’s First Wage Fixing Indictment Survives a Motion to Dismiss Because Court Finds Wage-Fixing Agreements are Illegal Per Se

Epstein Becker & Green on

Within the last year, the U.S. Department of Justice (DOJ) brought its first indictments alleging criminal wage-fixing conspiracies and criminal no-poach conspiracies among competing employers. In December 2020, DOJ indicted...more

Skadden, Arps, Slate, Meagher & Flom LLP

Recent Trends in No-Poach Litigation

Federal district courts around the country continue to grapple with how to analyze “no-poach” agreements — whereby two or more companies agree not to hire or recruit each other’s workers — under the antitrust laws. Beginning...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

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