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
On Friday morning, the Supreme Court in Loper Bright Enterprises v. Raimondo, No. 22-451, reversed its long-standing precedent in Chevron USA, Inc. v. Natural Resources Defense Council (1984), which required courts reviewing...more
7/1/2024
/ Chevron Deference ,
Chevron v NRDC ,
Federal Trade Commission (FTC) ,
Government Agencies ,
Judicial Authority ,
Loper Bright Enterprises v Raimondo ,
Non-Compete Agreements ,
Regulatory Authority ,
Restrictive Covenants ,
SCOTUS ,
Statutory Interpretation
Please join Nelson Mullins for a virtual webinar on the FTC Rules on non-competes....more
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
The Noncompete Rule -
On April 23, 2024, the Federal Trade Commission (FTC), issued a Final Rule banning all noncompete agreements for any worker in the United States, regardless of industry, title, job function, or...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
On May 30, 2023, NLRB General Counsel Jennifer Abruzzo issued Memorandum GC 23-08 (the “Memorandum”) outlining her position that the “proffer, maintenance, and enforcement” of non-competition provisions in employment...more
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
President Biden on July 9 signed a sweeping Executive Order targeting issues of competition for American businesses by directing several federal agencies – including the Federal Trade Commission (FTC) in conjunction with the...more
1. Non-Competition Agreements Prohibited for Low Wage Earners in Maryland -
Maryland law prohibits employers from entering into non-competition agreements with low wage workers, defined as employees who earn $15 per hour...more