News & Analysis as of

Federal Trade Commission (FTC) Restrictive Covenants Non-Compete Agreements

Kerr Russell

FTC’s Ban on Covenants Not to Compete Remains on Hold

Kerr Russell on

The legal arguments advanced in these court cases mainly concern whether the FTC has the statutory authority to enact such a ban. Shortly before the September 4, 2024 effective date of FTC’s ban on covenants not to compete,...more

Polsinelli

Stay Tuned… FTC Seeks to Breathe Life Back Into Non-Compete Ban

Polsinelli on

This past week, the FTC appealed a Texas federal court’s August ruling that blocked nationwide enforcement of the non-compete ban. The non-compete ban will remain blocked during the pendency of the appeal process. However,...more

Cranfill Sumner LLP

FTC Appeals Order Striking Down Noncompete Ban

Cranfill Sumner LLP on

On October 18, 2024, the Federal Trade Commission (FTC) appealed to the Fifth Circuit a Texas federal court’s decision to strike down the FTC’s nationwide noncompete ban. This comes hot on the heels of the FTC’s September 24,...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Beltway Buzz - October 2024 #4

The Beltway Buzz is a weekly update summarizing labor and employment news from inside the Beltway and clarifying how what’s happening in Washington, D.C., could impact your business....more

Parker Poe Adams & Bernstein LLP

FTC Appeals Blocked Noncompete Rule

The FTC recently appealed a Texas federal court’s decision that blocked its proposed noncompete ban. On October 18, 2024, the agency filed a notice of appeal with the U.S. Court of Appeals for the Fifth Circuit, contesting...more

Genova Burns LLC

FTC Rule On Non-Competes Is Bruised But Not Yet Beaten As FTC Appeals, While NLRB Continues To Challenge Non-Competes

Genova Burns LLC on

In April 2024, the FTC issued a Rule declaring invalid most existing non-compete agreements and prohibiting most employers from entering into new non-compete agreements after September 3, 2024, with few exceptions. Three...more

CDF Labor Law LLP

FTC Appeals Injunction Against Final Rule Banning Non-Compete Employment Agreements

CDF Labor Law LLP on

Last Friday, the Federal Trade Commission (“FTC”) gave notice to appeal Judge Brown’s nationwide bar on the FTC’s final rule creating a Non-Compete Ban or enforcement of the rule in the case of Ryan LLC v. Federal Trade...more

Benesch

FTC Appeals Noncompete Ban Ruling

Benesch on

The Federal Trade Commission (“FTC”) has appealed a ruling from a federal court in Texas that blocked its sweeping ban of noncompete agreements. As Benesch previously highlighted in August, a federal district court in Texas...more

Troutman Pepper

FTC Appeals Texas Court’s Decision to Set Aside the Noncompete Ban

Troutman Pepper on

The Federal Trade Commission (FTC) has filed a notice of appeal of the Northern District of Texas’s decision granting plaintiffs’ summary judgment motion and “setting aside” the agency’s rule banning nearly all employee...more

Fisher Phillips

Breaking Down the FTC Non-Compete Ban Appeals: Heading to a Circuit Split and SCOTUS Intervention?

Fisher Phillips on

The Federal Trade Commission has appealed two federal trial court decisions – one in Texas and one in Florida – that prevented the agency from enforcing its near-total ban on non-compete agreements. The Texas appeal, filed on...more

Stevens & Lee

FTC Appeals Decision in the Ryan Case: Fate of the Noncompete Rule Now Rests in the Appeals Courts

Stevens & Lee on

On Oct. 18, the Federal Trade Commission (FTC) expectedly filed a notice of appeal to the Fifth Circuit Court of Appeals in Ryan LLC et.al. v. Federal Trade Commission. As has been previously reported, Judge Ada M. Brown in...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

FTC Appeals Texas District Court Ruling that Blocked Noncompete Ban to Fifth Circuit

The Federal Trade Commission (FTC) is appealing a Texas federal court ruling that struck down the FTC’s noncompete ban nationally, teeing the case up to be heard by the U.S. Court of Appeals for the Fifth Circuit....more

Cozen O'Connor

NLRB General Counsel Issues Memorandum Arguing Noncompetes are Illegal

Cozen O'Connor on

In May 2023, National Labor Relations Board’s General Counsel Jennifer Abruzzo issued Memorandum GC 23-08, taking the position that noncompete provisions violate the National Labor Relations Act (NLRA) except in limited...more

Epstein Becker & Green

NLRB General Counsel Calls for Crack Down and Harsh Remedies for Non-Competes and “Stay or Pay” Provisions

Epstein Becker & Green on

National Labor Relations Board (“Board”) General Counsel Jennifer Abruzzo (“Abruzzo”) issued a General Counsel Memo (Memo GC 25-01) last week signaling that employers could face civil prosecution and significant monetary...more

Locke Lord LLP

Key Employer Updates for 2024/2025 – ‎Part Three: State Law Trends for Restrictive ‎Covenant Agreements

Locke Lord LLP on

As year-end nears, many employers are updating their key employment policies and agreements to ensure they align with ever-evolving federal, state, and local laws and changes to business needs. In Part One of this series, we...more

Baker Donelson

Should Employees Stay or Should They Go: The NLRB and FTC Crack Down on Restrictive Covenants

Baker Donelson on

Many employers were encouraged when a federal court in Texas last month blocked the enforcement of a Federal Trade Commission (FTC) prohibition against essentially all non-compete employment agreements in Ryan, LLC v. FTC....more

Kohrman Jackson & Krantz LLP

Court Ruling in Ohio Highlights Evolving Non-Compete and Non-Solicit Landscape

As the Federal Trade Commission’s Non-Compete Rule is appealed through the federal courts, a ruling from a court in Cleveland, Ohio, exemplifies how certain courts have recently approached non-compete and non-solicitation...more

Epstein Becker & Green

Pennsylvania Plaintiff That Failed in Effort To Block FTC Noncompete Ban Drops Lawsuit

Epstein Becker & Green on

Last week, employers who use noncompetes got more good news with respect to the Federal Trade Commission’s proposed noncompete ban....more

Dinsmore & Shohl LLP

Trade Secret Protection as a “Trade-Off” for Non-Competes

Dinsmore & Shohl LLP on

Non-compete agreements can be an effective method for protecting confidential and proprietary business information. However, over the past several years, it seems that non-compete agreements have been falling out of favor....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Pennsylvania Company Drops Challenge to FTC Noncompete Ban After Injunction Denial

A Pennsylvania company has dropped its challenge to the Federal Trade Commission’s (FTC) noncompete ban after a Pennsylvania federal judge denied the company’s bid to block the rule. The dismissal of the Pennsylvania lawsuit...more

Ballard Spahr LLP

ATS Withdraws Challenges to the FTC’s Final Non-Compete Rule After the Eastern District of Pennsylvania Denies its Motion to Stay...

Ballard Spahr LLP on

ATS Tree Services, LLC (“ATS”) has voluntarily dismissed the lawsuit it filed in April 2024 in the U.S. District Court for the Eastern District of Pennsylvania challenging the Federal Trade Commission’s (“FTC”) Non-Compete...more

Seyfarth Shaw LLP

Pennsylvania Plaintiff Drops Challenge to FTC Non-Compete Rule

Seyfarth Shaw LLP on

On October 4, 2024, Plaintiff ATS Tree Services, LLC (“ATS”) voluntarily dismissed its claims against the FTC challenging the agency’s Non-Compete Rule. See ATS Tree Services, LLC v. Fed. Trade Comm’n, et al., No....more

Carlton Fields

Court Enjoins FTC Noncompete Ban: Appeal Likely

Carlton Fields on

A federal judge in Texas has enjoined the Federal Trade Commission’s ban on noncompete agreements, leaving the FTC’s attempt to quash such agreements waiving in the breeze, at least for the time being....more

Seyfarth Shaw LLP

Noncompete Agreements – Employer Options and Strategies to Reduce Risks

Seyfarth Shaw LLP on

Seyfarth Synopsis: The federal district court for the Northern District of Texas has issued an order in the Ryan case staying the effective date on a nationwide basis the Federal Trade Commission (FTC) Rules banning...more

Spilman Thomas & Battle, PLLC

The FTC’s Rule Banning Noncompete Agreements is Dead. Long Live Noncompete Agreements?

Earlier this year, the Federal Trade Commission (FTC) announced a Final Rule outlawing nearly all noncompete agreements between employers and employees. That Final Rule, however, was overturned at the end of August 2024....more

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