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Seyfarth Synopsis: The federal district court for the Northern District of Texas has issued an order in the Ryan case staying the effective date on a nationwide basis the Federal Trade Commission (FTC) Rules banning...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
Back in April 2024, the Federal Trade Commission (FTC) issued a final rule that would have banned non-compete agreements nationwide as of September 4, 2024. (You can read our alert on the FTC’s final rule here.) However, on...more
On Tuesday, August 20, 2024, the United States District Court in Texas found the FTC rule banning non-compete agreements to be “arbitrary and capricious.”...more
On August 20, 2024, the Northern District of Texas in the case of Ryan, LLC v. Federal Trade Commission granted summary judgment to the Plaintiff Ryan, LLC, enjoining the FTC from implementing its rule banning non-compete...more
On July 10, 2024, we sent you an update informing you that Judge Ada Brown of the United States District Court for the Northern District of Texas had entered a preliminary injunction blocking the Federal Trade Commission...more
Judge Ada Brown of the U.S. District Court for the Northern District of Texas on Tuesday struck down the Federal Trade Commission’s (FTC) pending ban on non-compete covenants, concluding that the issuance of the FTC’s Rule...more
Employers that rely on non-compete agreements to protect their trade secrets and other legitimate business interests got some welcome news on August 20. The Federal Trade Commission’s (FTC) final non-compete rule, which seeks...more
On August 20, 2024, a Texas federal court judge issued an order halting the Federal Trade Commission's (FTC) non-compete rule, preventing it from taking effect on September 4, 2024. The order, issued by Judge Ada Brown, held...more
This week, Judge Ada E. Brown of the U.S. District Court for the Northern District of Texas in Ryan v. The Federal Trade Commission upheld a challenge by business groups to the FTC’s non-compete ban. In addition to confirming...more
On August 20, 2024, a federal court in Texas permanently blocked the Federal Trade Commission's (FTC) final rule banning most non-competes. U.S. District Judge Ada Brown granted summary judgment in favor of the plaintiffs in...more
On August 20, 2024, the United States District Court for the Northern District of Texas (Dallas Division) struck down the Federal Trade Commission’s (FTC) non-compete rule, 16 CFR § 910.1-6, that was set to take effect...more
On Tuesday, August 20, a Texas federal judge set aside the FTC’s “Non-Compete Rule” (the “Rule”). This decision comes just two weeks before the FTC’s nationwide ban on non-competes was set to take effect. The Court stated...more
On August 20, a federal court in Texas issued an order invalidating the Federal Trade Commission’s (FTC) ban on noncompete agreements (Final Rule), which had been set to take effect on September 4, 2024. The decision, issued...more
On August 20, 2024, the U.S. District Court for the Northern District of Texas entered a final judgment (“Order”) setting aside, on a nationwide basis, the Federal Trade Commission (“FTC”) final rule (“Rule”) prohibiting...more
We recently provided a Client Alert providing an update on the status of the Final Rule (the “Rule”) issued by the Federal Trade Commission (the “FTC”), which would make most covenants not to compete between employers and...more
Real World Impact: Making good on her promise to make a ruling on the FTC Noncompete Rule on or before August 30, 2024, United States District Judge Ada Brown granted a motion for summary judgment that sets aside the FTC...more
As of yesterday afternoon, employers across the country that utilize noncompete agreements may breathe a sigh of relief, as Judge Ada Brown beat her self-imposed deadline of August 30, 2024 and ordered an end to any...more
In a widely anticipated ruling, Judge Ada E. Brown of the United States District Court for the Northern District of Texas sided with the U.S. Chamber of Commerce and a Texas-based tax firm to block the FTC’s Final Rule...more
In July, this blog alerted you to the outcome of the preliminary injunction rulings in Ryan, LLC v. Federal Trade Commission and ATS Tree Services, LLC v. Federal Trade Commission, which resulted in a 1-1 tie between...more
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
On August 20, 2024, Judge Ada Brown of the Northern District of Texas issued her much anticipated order which officially set aside the FTC’s Final Rule Banning Non-Competes (the “Ban”), which we first brought to your...more
The Federal Trade Commission (FTC) issued an extremely broad Final Rule banning most non-competes. As expected, there have been multiple court challenges to the Final Rule, but, to date, no court has issued a nationwide...more
Now that the dust has settled on the Federal Trade Commission’s (FTC) April 23 final rule that might eventually prohibit virtually all employee non-compete agreements (with only extremely limited exceptions), where do things...more
The enforceability of restrictive covenants in the United States is currently governed by state law, although that may change if federal rules or legislation are enacted to address such covenants. State laws regarding...more