On April 23, 2024, the Federal Trade Commission (“FTC”) voted 3-2 to issue a proposed final rule (“Final Rule”), which, absent a successful legal challenge, will ban most noncompete agreements in the United States.
Despite...more
4/25/2024
/ Department of Labor (DOL) ,
Employment Contract ,
Federal Bans ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Non-Solicitation Agreements ,
Notice of Proposed Rulemaking (NOPR) ,
Restrictive Covenants ,
Trade Secrets
Today the Federal Trade Commission voted 3-2 to approve a Final Rule that, absent a successful legal challenge, will ban most noncompete agreements in the United States beginning 120 days after publication in the Federal...more
4/24/2024
/ Employment Contract ,
Enforcement ,
Federal Bans ,
Federal Trade Commission (FTC) ,
FTC Act ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Non-Solicitation Agreements ,
Notice of Proposed Rulemaking (NOPR) ,
Restrictive Covenants ,
Trade Secrets
Employers who rely on artificial intelligence driven tools for their recruiting and hiring processes may face new regulations in New York and New Jersey. In the past few weeks, three bills have been proposed (two in New...more
3/13/2024
/ Artificial Intelligence ,
Audits ,
Automated Decision Systems (ADS) ,
Bias ,
Department of Labor (DOL) ,
Employment Discrimination ,
Hiring & Firing ,
New Jersey ,
New Legislation ,
New York ,
Regulatory Agenda
Joining an emerging trend of legislative and regulatory hostility towards non-compete agreements, on February 28, 2024, the New York City Council introduced three new bills proposing restrictions on non-compete agreements in...more
In a win for businesses that rely on restrictive covenants to protect their assets and investments, on January 29, 2024, the Delaware Supreme Court unanimously reversed a Chancery Court decision that invalidated a...more
In a recent development in Mobley vs. Workday, Inc., the novel class action lawsuit filed in the United States District Court for the Northern District of California alleging that Workday’s algorithm-based applicant screening...more
After months of speculation and intense lobbying, New York Governor Kathy Hochul vetoed a bill that would have imposed a near-total ban on employee non-competition agreements in New York State.
Governor Hochul has long...more
In what we believe are her first public statements on the New York Legislature’s proposal to ban ostensibly all non-compete agreements in New York, Governor Hochul on Thursday, November 30 reportedly told a group of...more
California’s Fair Employment and Housing Act (FEHA) is already one of the most employee-friendly state civil rights laws in the country. Until now, it was not clear whether employees could sue not only their direct employers...more
On August 23, 2023, the Delaware Court of Chancery decided Frontline Technologies Parent LLC et al. v. Brian Murphy et al., a case which, in the Court’s view, “presents a textbook example of why parties should ensure their...more
A bill introduced in the New York State Senate on August 4, 2023, would impose statewide requirements regulating tools that incorporate artificial intelligence to assist in employee monitoring and the employment...more
On August 9, the U.S. Equal Employment Opportunity Commission (“EEOC”) and iTutorGroup, Inc. filed a joint notice of settlement and consent decree announcing the settlement of a discrimination in hiring lawsuit. This...more
The potential New York ban on non-compete agreements, approved by the both houses of the state Legislature back in June, has generated a significant volume of press, commentary, and speculation—but it hasn’t yet been signed...more
The second webinar in our series, “Employment Issues in Generative AI,” explored the evolving impact of generative AI (or “GAI”) on the workplace and how employers can work to ensure the ethical and responsible use of AI...more
On June 2, 2023, the Federal Trade Commission (“FTC” or “the Commission”) finalized a Consent Order settling charges against Anchor Glass Container Corp. (“Anchor Glass”) for engaging in conduct which, according to the FTC’s...more
As previously reported, the New York City Automated Employment Decision Tools (“AEDT”) Law takes effect on July 5, 2023. The Law will impose certain requirements upon employers or employment agencies who use an AEDT to assist...more
On June 21, 2023, the New York State Assembly passed a sweeping bill (Bill No. S03100/A1278B — An Act to Amend the Labor Law, in Relation to Prohibiting Non-Compete Agreements and Certain Restrictive Covenants) that, if it...more
We recently reported on New York Bill No. S03100, which, if enacted, would broadly prohibit non-competition agreements in New York. On the same day, June 7, 2023, the New York Senate also passed Bill No. S6748 (the “Bill”),...more
An estimated 30 million workers in the United States, roughly 18 percent of the American workforce, are subject to a noncompete agreement, according to the US Treasury Department and Federal Trade Commission. Noncompete...more
On Thursday May 18, 2023, the Equal Employment Opportunity Commission (“EEOC”) released a new technical assistance document titled Assessing Adverse Impact in Software, Algorithms, and Artificial Intelligence Used in...more
Introduction:
Earlier this year, we covered the notable trade secrets verdict in Versata Software Inc. v. Ford Motor Co., No. 2:15-cv-10628 (E.D. Mich. Oct. 26, 2022), in which Versata was awarded $105 million for breach...more
On April 25, 2023, officials from four federal agencies released a joint statement pledging to increase “enforcement efforts to protect the public from bias in automated systems and artificial intelligence” (“AI”). The...more
In response to the sudden proliferation of AI programs, like ChatGPT, on April 11, 2023, the National Telecommunications and Information Administration (NTIA) – an Executive branch agency responsible for advising the...more
New York City will begin enforcing the New York City Automated Employment Decision Tools (“AEDT”) Law, on July 5, 2023, delaying the previously announced enforcement date of April 15.
On April 6, 2023, after two sets of...more
4/10/2023
/ Automated Decision Systems (ADS) ,
City of New York ,
Comment Period ,
Employer Liability Issues ,
Hiring & Firing ,
Job Applicants ,
Labor Reform ,
Local Ordinance ,
Proposed Legislation ,
Proposed Rules ,
State Labor Laws
On Friday, September 23rd, the New York City Department of Consumer and Worker Protection (“DCWP”) issued a Notice of Public Hearing and Opportunity to Comment on Proposed Rules related to Local Law 144 (“the Law”), which...more