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
Just over a month ago, employers throughout the United States breathed a sigh of relief after Judge Ada Brown in the Northern District of Texas issued a summary judgment ruling in the Ryan v. FTC litigation setting aside the...more
9/25/2024
/ Administrative Procedure Act ,
Appeals ,
Arbitrary and Capricious ,
Confidential Information ,
Employees ,
Employer Liability Issues ,
Employment Contract ,
Federal Trade Commission (FTC) ,
Final Rules ,
Hiring & Firing ,
Intellectual Property Protection ,
Motion To Stay ,
Non-Compete Agreements ,
Preliminary Injunctions ,
Restrictive Covenants ,
Summary Judgment
Once again surprising the country by acting ten days before her own self-appointed deadline, a federal judge in the United States District Court for the Northern District of Texas issued a ruling on August 20 in the Ryan v....more
8/21/2024
/ Arbitrary and Capricious ,
Competition ,
Employer Liability Issues ,
Employment Contract ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Hiring & Firing ,
Intellectual Property Protection ,
Non-Compete Agreements ,
Regulatory Authority ,
Restrictive Covenants ,
Unfair Competition
This just in: Judge Ada Brown ruled yesterday on the parties’ dueling summary judgment motions – 10 days before her self-imposed deadline to do so – in Ryan LLC v. FTC. Judge Brown granted the plaintiffs’ motion for summary...more
8/21/2024
/ Arbitrary and Capricious ,
Employees ,
Employer Liability Issues ,
Employment Contract ,
Employment Litigation ,
Federal Trade Commission (FTC) ,
Final Rules ,
Hiring & Firing ,
Non-Compete Agreements ,
Regulatory Authority ,
Restrictive Covenants
Yesterday, the Court in the ATS Trees v. FTC case denied Plaintiff ATS Trees’ Motion for Stay and Enjoin the FTC recent Ban on Non-Compete agreements (“Final Rule”), because, the Court held, ATS Trees failed to establish...more
7/24/2024
/ Employees ,
Employer Liability Issues ,
Employment Contract ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Hiring & Firing ,
Labor Regulations ,
Non-Compete Agreements ,
Regulatory Requirements ,
State Labor Laws
An administrative law judge (“ALJ”) of the National Labor Relations Board (“NLRB”) in J.O. Mory, Inc. recently required an employer to rescind certain restrictive covenants in its employment agreements. The decision is yet...more
7/19/2024
/ Administrative Law Judge (ALJ) ,
Employee Handbooks ,
Employee Rights ,
Employees ,
Employer Liability Issues ,
Employment Contract ,
Employment Policies ,
Hiring & Firing ,
NLRA ,
NLRB ,
Non-Compete Agreements ,
Regulatory Agenda ,
Regulatory Reform ,
Restrictive Covenants ,
Section 7
While the two federal actions in Texas challenging the FTC’s non-compete ban have garnered much of the attention to date, a challenge of the FTC’s rule brought by a small tree trimming business in Pennsylvania is now in the...more
The FTC’s Final Rule banning non-competes in worker agreements contains a noteworthy exception that its provisions “do not apply where a cause of action related to a non-compete clause accrued prior to the effective date.” ...more
5/20/2024
/ Cause of Action Accrual ,
Constitutional Challenges ,
Due Process ,
Employees ,
Employer Liability Issues ,
Employment Contract ,
Federal Trade Commission (FTC) ,
Fifth Amendment ,
Final Rules ,
Hiring & Firing ,
Non-Compete Agreements ,
Proposed Rules
On April 23, 2024, the Federal Trade Commission (FTC) voted in a 3 to 2 decision along party lines to adopt its Final Non-Compete Clause Rule (“Noncompete Rule”) banning post-employment non-compete clauses between employers...more
5/1/2024
/ Competition ,
Confidential Information ,
Constitutional Challenges ,
Corporate Counsel ,
Employer Liability Issues ,
Employment Contract ,
Federal Labor Laws ,
Federal Trade Commission (FTC) ,
Final Rules ,
Hiring & Firing ,
Intellectual Property Protection ,
Labor Reform ,
Non-Compete Agreements ,
Popular ,
Restrictive Covenants
On April 23, 2024, the FTC announced its Final Non-Compete Clause Rule (“Final Rule”), which bans post-employment non-compete clauses between employers and their workers. The Final Rule becomes effective 120 days after being...more
4/25/2024
/ Competition ,
Confidential Information ,
Contract Terms ,
Employer Liability Issues ,
Employment Contract ,
Federal Labor Laws ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Hiring & Firing ,
Intellectual Property Protection ,
Labor Reform ,
Non-Compete Agreements ,
Restrictive Covenants
This afternoon, the FTC voted to adopt a proposed final rule banning most non-competes with workers in the United States. The final rule provides that it is an unfair method of competition—and therefore a violation of Section...more
4/24/2024
/ Employees ,
Employer Liability Issues ,
Employment Contract ,
Federal Labor Laws ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Hiring & Firing ,
Labor Reform ,
Non-Compete Agreements ,
Proposed Rules ,
Trade Secrets
Throughout 2021, our dedicated Trade Secrets, Computer Fraud & Non-Competes Practice Group hosted a series of CLE webinars that addressed significant trade secret and restrictive covenant issues facing clients today. This...more
On August 7, 2020, the Fifth Circuit addressed an issue presently undecided by the Texas Supreme Court; namely, whether reformation of an overbroad non-compete restriction is appropriate, and perhaps even required, at the...more
In a strengthening of company contractual rights, the Louisiana Legislature recently expanded its state non-compete statute by permitting a corporation, partnership, or limited liability company to enter into agreements with...more
According to the U.S. Bureau of Labor Statistics, one in every seven jobs created in the U.S. in 2018 came in the healthcare sector. The growth in healthcare demand and jobs is due to coalescing of factors, including an aging...more
Seyfarth Synopsis: The Texas Supreme Court throws out a former employee’s defamation suit under the Texas Citizens Participation Act, finding that communications about his alleged failure to measure a petroleum storage tank...more
3/3/2017
/ Anti-SLAPP ,
Appeals ,
Citizens Participation Acts ,
Defamation ,
Exxon Mobil ,
Former Employee ,
Hiring & Firing ,
Public Interest ,
Public Safety ,
Remand ,
Reversal ,
TX Supreme Court
A Texas Court of Appeals affirmed a summary judgment last month in favor of an ex-employee declaring that a noncompete clause in an asset purchase agreement and separate noncompete agreement did not bar him from competing...more
12/28/2016
/ Appeals ,
Asset Purchaser ,
Competition ,
Contract Terms ,
Employment Contract ,
Hiring & Firing ,
Non-Compete Agreements ,
Purchase Agreement ,
Resignation ,
Restrictive Covenants ,
Summary Judgment