Employee non-competes
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*As of August 20, 2024, the United States District Court for the Northern District of Texas has blocked the FTC's impending ban on non-compete agreements. Please see the update at the end of this alert. Trade secrets...more
Trade secrets exist, by definition, only if the owner takes reasonable measures to maintain their secrecy. This is true under the Federal, State and Uniform Trade Secret Acts. Companies have traditionally used...more
On August 14, Judge Corrigan for the Middle District of Florida, in Properties of the Villages vs. FTC, found that the FTC did not have the authority to enter its planned Noncompete Rule, and entered an order granting an...more
Corporate leaders concerned about protecting the recipe for their company's success have been following the fitful path of the FTC's rule banning non-competes. Lawsuits seeking to enjoin the rule were filed in multiple...more
The Federal Trade Commission's (FTC) impending Non-Compete Rule invalidating almost all non-compete agreements nationwide received new life after a recent federal decision in Pennsylvania district court. Employers and...more
AT A GLANCE - Restrictive covenants are a common feature in an employment context, especially for senior employees with special trade connections or who have access to trade secrets....more
Restrictive covenants with the sole aim of preventing competition will not be upheld by Hong Kong courts. In cases where there is a legitimate interest to be protected, restrictive covenants must be reasonable and not go...more
AT A GLANCE - Employees in Germany are subject to statutory non-competition and non-solicitation obligations during an employment relationship. Similar statutory restrictions apply to directors and board members as long as...more
Introduction - On April 23, 2024, the Federal Trade Commission (“FTC”) voted to finalize a rule that prohibits employers from enforcing non-compete agreements against workers (“The Rule”)....more
On May 7, 2024, the Federal Trade Commission (FTC) issued a Final Rule that renders invalid non-compete clauses in standard employment agreements. 16 C.F.R. § 910. Although some limited exceptions apply, this new regulation...more
FTC Bans Non-Competes - The U.S. Federal Trade Commission (FTC) voted 3-2 to issue a final rule banning non-competes nationwide for all workers and requiring employers to notify workers that they will not enforce them....more
Welcome, readers. We are at a pivotal juncture in the realm of non-compete law. Today, we will be providing real-time coverage of a consequential Federal Trade Commission (FTC) meeting. This is not just an ordinary meeting;...more
On April 23, 2024, the Federal Trade Commission (FTC) by a vote of 3-2 approved and issued its final rule that effectively bans employers’ use of all non-compete agreements (with very limited exceptions). The final rule is...more
2023 was a banner year for trade secrets, non-competes, and other restrictive covenants. Employee non-competes continued to garner attention at the federal agency level, drawing commentary and action from the Federal Trade...more
In a bombshell ruling last year that upended longstanding Delaware law, the Delaware Chancery Court ruled in Ainslie v. Cantor Fitzgerald, L.P., 2023 WL 106924 (Del. Ch. Jan. 4, 2023), that forfeiture-for-competition clauses,...more
On October 12, 2023, the Wisconsin legislature introduced Assembly Bill 481, which proposes the ban of employee non-compete agreements in the Badger State. Currently, employee non-compete agreements in Wisconsin are allowed...more
In a world where non-compete agreements are being curtailed or outright banned, companies need to enhance their use of other ways to protect their intellectual property and confidential information when their employees leave...more
Don’t just sit by and watch in alarm as a former employee, contractor, or competitor poaches your clients. Texas law protects valuable trade secrets from misuse and misappropriation – including client lists. These protections...more
The proposed rule would only permit non-competes as part of the sale of a business –and then only when the restricted individual owns at least 25% of the entity being sold. The proposed rule permits non-solicitation...more
On January 5, 2023, the Federal Trade Commission (FTC) proposed a radical and unprecedented rule that would prohibit employers from entering noncompete clauses with their workers. This follows the initiation of a landmark FTC...more
On Thursday, January 5, 2023, the Federal Trade Commission (FTC) published a proposed rule that would invalidate existing non-competition agreements and prohibit employers from entering into new non-competition agreements,...more
A recent decision from a federal court sitting in Atlanta reaffirms the importance – now more than ever – of evaluating or reevaluating employee restrictive covenants to ensure that they are narrowly tailored to protect...more
The District of Columbia recently passed a new expansive law which bans most noncompetition agreements for employees in the District. The Ban on Non-Compete Agreements Amendment Act (the “Act”) takes effect on October 1,...more
As non-competition laws and the scrutiny of non-compete agreements continue to be in the spotlight, several states are revisiting their non-compete laws. Colorado has been in the spotlight after the Colorado Legislature...more
Join Us for Protecting Trade Secrets & Gaining a Competitive Edge in the Digital Age - Sophisticated Strategies to Protect Critical Assets When Key Employees Depart & Business Relationships Break Down - The protection...more