In a highly anticipated ruling yesterday, the Northern District of Texas issued a final order, which enjoined and set aside the FTC’s Noncompete ban (the “Rule”). See Ryan, LLC v. FTC, No. 3:24-cv-00986-E (N.D. Tex. 2024)....more
8/21/2024
/ Arbitrary and Capricious ,
Competition ,
Confidential Information ,
Employer Liability Issues ,
Employment Contract ,
Federal Trade Commission (FTC) ,
Hiring & Firing ,
Intellectual Property Protection ,
Non-Compete Agreements ,
Restrictive Covenants ,
Statutory Authority
With prior articles published in April and May, Nelson Mullins has been tracking the FTC Noncompete Final Rule banning non-competition provisions (the “Rule”) for months. The Rule remains on track to take effect on September...more
The U.S. Department of Labor (DOL) announced on April 23 a final rule, Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees, which will take effect on July...more
6/5/2024
/ Department of Labor (DOL) ,
Employer Liability Issues ,
Exempt-Employees ,
Fair Labor Standards Act (FLSA) ,
Federal Labor Laws ,
Final Rules ,
Highly Compensated Employees ,
Labor Reform ,
Minimum Salary ,
Non-Exempt Employees ,
Over-Time ,
Salaried Employees ,
Unpaid Overtime ,
Wage and Hour ,
White-Collar Exemptions
The below summary of frequently asked questions for employers concerning the Federal Trade Commission’s new rule governing non-competes (the “Rule”) is for general information purposes only. The below is not intended to and...more
5/13/2024
/ Competition ,
Confidential Information ,
Employer Liability Issues ,
Employment Contract ,
Federal Labor Laws ,
Federal Trade Commission (FTC) ,
Final Rules ,
Hiring & Firing ,
Intellectual Property Protection ,
Labor Reform ,
Non-Compete Agreements ,
Restrictive Covenants
A Department of Labor (DOL) proposed rule increasing the minimum salary threshold for exempt employees is projected to change the exempt status of approximately 3.4 million employees and go into effect as early as June 2024....more
3/6/2024
/ Department of Labor (DOL) ,
Employer Liability Issues ,
Exempt-Employees ,
Fair Labor Standards Act (FLSA) ,
Federal Labor Laws ,
Highly Compensated Employees ,
Labor Reform ,
Minimum Salary ,
Non-Exempt Employees ,
Over-Time ,
Regulatory Agenda ,
Rulemaking Process ,
Salaried Employees ,
Threshold Requirements ,
Wage and Hour ,
White-Collar Exemptions
Recently, the U.S. Department of Labor (DOL) issued a new rule redefining how workers are classified under the Fair Labor Standards Act (FLSA). The final rule, which will make it more challenging to classify workers as...more
1/17/2024
/ Department of Labor (DOL) ,
Economic Realities Test ,
Employee Definition ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Federal Labor Laws ,
Final Rules ,
Freelance Workers ,
Gig Economy ,
Hiring & Firing ,
Independent Contractors ,
Labor Reform ,
Misclassification ,
Over-Time ,
Wage and Hour
The Massachusetts Department of Family and Medical Leave (DFML) recently issued updates to the Paid Family and Medical Leave Act (PFML). Included in the 2024 updates are changes to the required workplace poster and employee...more
12/20/2023
/ Employee Benefits ,
Employees ,
Employer Liability Issues ,
Family Medical Leave ,
Hiring & Firing ,
Labor Reform ,
Medical Leave ,
Notice Requirements ,
Paid Family Leave Law ,
State Labor Laws ,
Wage and Hour
On May 24, 2023, Minnesota enacted bill SF 3035, prohibiting noncompete agreements across the state. The law, which applies to agreements entered into by employees or independent contractors on or after July 1, 2023, defines...more
On June 20, 2023, the New York Senate sent bill S.3100A/A.1278B to the desk of Governor Kathy Hochul to prohibit non-competition agreements broadly throughout New York State. This bill, if signed into law, will take effect...more
6/27/2023
/ Confidential Information ,
Employer Liability Issues ,
Employment Contract ,
Hiring & Firing ,
Intellectual Property Protection ,
Labor Reform ,
Legislative Agendas ,
New York ,
Non-Compete Agreements ,
Proposed Legislation ,
Regulatory Agenda ,
Restrictive Covenants ,
State Labor Laws
Illinois has enacted a new paid leave law, the Paid Leave for All Workers Act, providing for up to forty hours of paid leave for nearly all workers in the state. The law, which is scheduled to go into effect in 2024, will...more
In 2021, Colorado became the first state to enact a law requiring employers to list a salary range and benefits on job postings. This expansive law applied to any employer with one or more workers based in Colorado, and it...more
2/21/2023
/ Disclosure Requirements ,
Employer Liability Issues ,
Equal Pay ,
Hiring & Firing ,
Job Ads ,
Job Applicants ,
Labor Reform ,
Pay Equity Laws ,
Pay Gap ,
Pay Transparency ,
State Labor Laws ,
Wage and Hour
Effective January 1, 2023, twenty-three states increased their minimum wage thresholds.
Washington will have the highest minimum pay rate at $15.74 per hour. Nebraska implemented the highest percentage-based wage...more
The long-awaited Washington, D.C. non-compete and anti-moonlighting law finally went into effect on Oct. 1, 2022. At the end of 2020, the Washington, D.C. Council passed the Ban on Non-Compete Agreements Amendment Act of...more
11/3/2022
/ Contract Terms ,
Employees ,
Employer Liability Issues ,
Employment Contract ,
Hiring & Firing ,
Labor Regulations ,
Local Ordinance ,
New Legislation ,
Non-Compete Agreements ,
Regulatory Requirements ,
Remote Working ,
Restrictive Covenants
Nelson Mullins is continuously monitoring trends and state law changes regarding restrictive covenants in employment agreements. Several states have recently enacted or modified legislation that may significantly restrict an...more
6/30/2022
/ Contract Terms ,
Employer Liability Issues ,
Employment Contract ,
Hiring & Firing ,
Labor Reform ,
Legislative Agendas ,
New Legislation ,
Non-Compete Agreements ,
Pending Legislation ,
Regulatory Agenda ,
Restrictive Covenants ,
State Labor Laws ,
Wage and Hour
In early May 2022, the New Jersey Legislature introduced a comprehensive bill seeking to regulate and limit the use of non-compete agreements in a multitude of ways. Importantly, if enacted Bill A3715 would require employers...more
On March 24, 2022, Washington Governor Jay Inslee signed into law ESHB 1795, which generally prohibits nondisclosure and nondisparagement provisions in agreements between employers and employees. The law, which applies to...more