On August 20, 2024, the U.S. District Court for the Northern District of Texas held unlawful and set aside the Federal Trade Commission’s (FTC) final rule prohibiting non-competition agreements with workers. The court entered a final judgment directing that the final rule not be enforced or otherwise take effect and
Articles Discussing Restrictive Covenants In The Workplace And Other Topics Relating To Unfair Competition.
Preparing for Looming Deadlines in FTC Noncompete Ban
Another Federal District Court Enjoins FTC Noncompete Rule, but the Rule’s Effective Date Still Looms
On August 14, 2024, a judge in the U.S. District Court for the Middle District of Florida ruled against the Federal Trade Commission’s (FTC) efforts to implement a nationwide noncompete ban. The Florida court’s decision aligns with a July 3, 2024, decision from the U.S. District Court for the Northern
FTC Noncompete Ban Rule Survives Challenge in Pennsylvania Federal Court, but Still Contested in Florida and Texas
On July 23, 2024, a judge in the U.S. District Court for the Eastern District of Pennsylvania denied a motion for preliminary injunction seeking to stay the effective date of the Federal Trade Commission’s (FTC) final noncompete rule. The court in ATS Tree Services, LLC v. Federal Trade Commission rejected
Texas Court Preliminarily Enjoins FTC from Enforcing Its Non-Compete Ban, but Refuses (for Now) to Extend Order to All Employers
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 date of the Federal Trade Commission’s (FTC) final rule banning non-competition restrictions.
Federal Court Issues Limited Injunction of FTC’s Noncompete Rule
Real World Impact: The recent decision by a Texas federal district court judge enjoining the Federal Trade Commission (FTC) from implementing its regulation banning most noncompetes provides relief for the parties in that case but will not directly impact other employers . . . at least for now. While the ultimate viability of the FTC’s rule may be in question, to avoid future legal challenges to noncompete agreements, employers should continue to scrutinize these agreements to ensure they are strong, yet narrowly tailored to protect employers’ legitimate business interests.
Federal District Court Grants Preliminary Injunction Against FTC Rule Banning Non-Competes
On July 3, 2024, the U.S. District Court for the Northern District of Texas granted a preliminary injunction staying enforcement of the Federal Trade Commission’s (FTC) final rule prohibiting noncompetition employment agreements. The injunction is limited to the parties in that case, but it likely signals the FTC rule will
FTC Noncompete Ban Update – Texas Federal Court Enters Limited-Scope Injunction
First Test of FTC’s Non-Compete Ban Will Be Without Oral Argument
By: First Test of FTC’s Non-Compete Ban Will Be Without Oral Argument
By: First Test of FTC’s Non-Compete Ban Will Be Without Oral Argument
The Federal Trade Commission promulgated regulations that stand to ban non-compete agreements in employment relationships nationwide. These regulations are scheduled to become effective on September 4, 2024.
FTC’s Non-Compete Rule May Also Ban “Functional Non-Compete” Agreements – What are “Functional Non-Competes”?
The FTC Issues Final Rule Banning Non-Compete Agreements
FTC’s Ban on Non-Compete Agreements: Definitions, Prohibitions, Requirements, and Employer Considerations
On May 7, 2024, the Federal Trade Commission (FTC) published a final rule that effectively bans all non-compete agreements between employers and “workers” as “unfair method[s] of competition” and requires employers to refrain from enforcing most existing non-compete agreements.
A Closer Look at the FTC’s Final Non-Compete Rule
On April 23, 2024, the Federal Trade Commission (FTC) issued its Final Non-Compete Agreement Rule (Final Rule), banning non-compete agreements between employers and their workers.
FTC Joins California in Banning Noncompetes
On April 23, 2024, the Federal Trade Commission (“FTC”) announced a final rule banning noncompete agreements nationwide. Of course, most California employers already think of noncompetes as things of the past (see our previous posts about California’s recent legislation here and here). Still, this new rule is important, particularly for multi-state employers.
“FTC Votes to Ban Noncompete Agreements,” Jones Walker LLP Banking & Financial Services Newsletter
The Federal Trade Commission voted 3-2 today to ban noncompete agreements between employers and employees. A full analysis of the final rule will be forthcoming, but key takeaways are: