The U.S. Chamber of Commerce Sues the FTC Over Power Grab
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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 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
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
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
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
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 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, 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
What's the latest on the legal challenges to the FTC's ban on non-compete agreements? Here is a timeline of the decisions and events leading up to the final rule and the legal challenges since: • January 5, 2023 – The...more
Following the issuance of the Federal Trade Commission’s regulations essentially banning use of noncompetition agreements for most U.S. employers, many companies expected quick judicial relief from legal challenges filed...more
In a controversial move, on April 24, 2024 the Federal Trade Commission (“FTC”) announced that beginning September 4, 2024, it will enforce its Final Rule banning most non-compete agreements that seek to limit a worker’s...more
The Federal Trade Commission’s final rule banning non-competes was published in the Federal Register Tuesday, potentially becoming effective on September 4, 2024. The new rule would prohibit employers from imposing...more
On April 23, 2024, the Federal Trade Commission (FTC) greenlit a sweeping prohibition on the use of noncompete agreements by for-profit employers nationwide. In a party-line vote, the FTC voted 3–2 to approve a final rule...more
The Federal Trade Commission (FTC) on April 23, 2024 issued its long-anticipated final rule generally banning noncompete agreements for workers (including employees and independent contractors) nationwide. What should...more
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
As many of you may have heard by now, on April 23, 2024, almost exactly one year after it set forth its Proposed Rule regarding Non-Compete Clauses, the Federal Trade Commission (FTC) issued a pre-publication version of its...more
On April 23, 2024, the Federal Trade Commission (FTC) issued a final rule (the “Rule”) which bans businesses from using most noncompete agreements against workers....more
To date, three lawsuits have been filed challenging the legality of the FTC’s Final Rule banning non-competes. The initial two cases were filed in Texas federal court, which is widely viewed as a more hospitable forum for...more
On April 23, 2024, the Federal Trade Commission (FTC), pursuant to sections 5 and 6(g) of the Federal Trade Commission Act (the “Act”), issued their final “Non-Compete Clause Rule” (Rule). This Rule provides that non-competes...more