News & Analysis as of

Employment Contract Preliminary Injunctions

Ogletree, Deakins, Nash, Smoak & Stewart,...

FTC Appeals Texas District Court Ruling that Blocked Noncompete Ban to Fifth Circuit

The Federal Trade Commission (FTC) is appealing a Texas federal court ruling that struck down the FTC’s noncompete ban nationally, teeing the case up to be heard by the U.S. Court of Appeals for the Fifth Circuit....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Pennsylvania Company Drops Challenge to FTC Noncompete Ban After Injunction Denial

A Pennsylvania company has dropped its challenge to the Federal Trade Commission’s (FTC) noncompete ban after a Pennsylvania federal judge denied the company’s bid to block the rule. The dismissal of the Pennsylvania lawsuit...more

Seyfarth Shaw LLP

Pennsylvania Plaintiff Drops Challenge to FTC Non-Compete Rule

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On October 4, 2024, Plaintiff ATS Tree Services, LLC (“ATS”) voluntarily dismissed its claims against the FTC challenging the agency’s Non-Compete Rule. See ATS Tree Services, LLC v. Fed. Trade Comm’n, et al., No....more

Seyfarth Shaw LLP

Noncompete Agreements – Employer Options and Strategies to Reduce Risks

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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

Benesch

First Circuit Declines to Enforce California’s Out-of-State Noncompete Ban

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On September 26, 2024, a Boston-based federal appeals court refused to extend California’s sweeping noncompete ban to agreements that were signed outside the state and governed by another state’s law....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

FTC to Appeal Florida Court’s Preliminary Injunction of Noncompete Ban Following Texas Court’s Block

The Federal Trade Commission (FTC) is appealing a Florida federal court ruling temporarily blocking the FTC’s noncompete ban a month after a Texas federal judge in a separate case blocked the FTC’s ban on a nationwide basis....more

Jenner & Block

Non-Competition Agreements; FTC Rule Status

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As we previously reported, on April 23, 2024, the Federal Trade Commission (FTC) announced their final rule banning most “non-competition” agreements. The FTC determined non-competition agreements were an unfair method of...more

Seyfarth Shaw LLP

The Saga’s Not Over – FTC Appeals Florida Court’s Stay of Non-Compete Rule

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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

Clark Hill PLC

The FTC Rule Banning Noncompetes Has Been Struck Down – For Now

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On Aug. 20, a new federal court decision from the Northern District of Texas in Ryan LLC v. Federal Trade Commission halted enactment of the Federal Trade Commission’s (“FTC”) Rule banning noncompete agreements throughout the...more

Bracewell LLP

Texas District Court Sets Aside FTC Non-Compete Ban: What Employers Should Consider

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The Federal Trade Commission’s (FTC) Non-Compete Rule, which was scheduled to become effective on September 4, 2024, was set aside last month by US District Judge Ada Brown of the Northern District of Texas in Ryan LLC v....more

BCLP

Federal Court Strikes Down FTC’s Non-Compete Ban

BCLP on

Employers can breathe a sigh of relief as a Texas federal judge set aside the Federal Trade Commission’s (FTC) impending ban on non-compete clauses.  The FTC published a final rule banning all non-compete clauses with...more

Sterne, Kessler, Goldstein & Fox P.L.L.C.

Update: FTC’s Ban on Non-Compete Agreements Set Aside

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. On August 20, 2024, the United States District Court for the...more

Akerman LLP - HR Defense

Ban on the Run: Federal Court Blocks the FTC’s Non-Compete Ban Nationwide

A Federal Court has blocked the Federal Trade Commission’s Final Rule (the “Rule”) that was set to broadly ban nearly all forms of non-compete agreements. On August 20, 2024, Judge Ada Brown of the Northern District of...more

Oliva Gibbs LLP

Texas Federal Judge Overturns Non-Compete Rule – What Energy Companies Should Do Next

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On August 20, 2024, the United States District Court for the Northern District of Texas, Dallas Division, overturned the FTC Non-Compete Rule (16 C.F.R. § 910.1-.6), which was set to ban all new non-compete agreements in the...more

Frantz Ward LLP

Update - FTC’s Noncompete Ban Blocked By Federal Judge

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A federal judge last Tuesday blocked the FTC’s controversial ban on noncompete agreements. The judge’s ruling ends months of speculation and prevents the FTC’s near-total ban on noncompete agreements from taking effect as...more

Dickinson Wright

Federal Judge Sets Aside the FTC’s Noncompete Ban

Dickinson Wright on

Not so fast and not so final – for now. On August 20, 2024, U.S. District Judge Ada Brown in the U.S. District Court for the Northern District of Texas sided with a plaintiff group comprised of a limited liability company, a...more

K&L Gates LLP

Challenge Denied: District Court Rules That FTC's Impending Nationwide Ban on Noncompetes Is Unlawful and Blocks Its...

K&L Gates LLP on

As previously alerted, the Federal Trade Commission (FTC or Commission) voted 3-2 this past April to publish and issue a final rule that (1) bans for-profit employers from entering into agreements with workers that impose a...more

Robinson+Cole Manufacturing Law Blog

Legal Update: Court Halts Enforcement of FTC Non-Compete Final Rule

On August 20, 2024, in Ryan LLC v. Federal Trade Commission, the U.S. District Court for the Northern District of Texas entered summary judgment in favor of the plaintiffs and set aside the Federal Trade Commission’s (FTC)...more

Partridge Snow & Hahn LLP

As Predicted, Judge Strikes Down FTC’s Noncompete Rule

As we predicted in our May 1, 2024 Client Alert, the Federal Trade Commission’s Noncompete Rule (the “Rule”) has been struck down on a nationwide basis. On August 20, 2024, U.S. District Judge Ada Brown of the Northern...more

Alston & Bird

Noncompete Clauses Get a Reprieve from FTC Ban: What’s Next?

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As expected, a Texas federal court blocked the Federal Trade Commission’s rule banning noncompete clauses. Our Labor & Employment and Antitrust Groups break down the court’s reasoning and look ahead to what might come next....more

Quarles & Brady LLP

Texas Federal Judge Strikes Down FTC Non-Compete Ban

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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

DLA Piper

Texas Federal Court Halts FTC Noncompete Rule for All Employers Nationwide

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On August 20, 2024, a federal court in Texas granted summary judgment to the plaintiffs in Ryan LLC v. Federal Trade Commission, setting aside and rendering unenforceable the Federal Trade Commission's (FTC) rule banning...more

Steptoe & Johnson PLLC

Texas Federal Court Invalidates FTC’s Non-Compete Ban As Unconstitutional

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A federal judge in Texas has barred enforcement of the Federal Trade Commission’s (FTC’s) new regulations, which otherwise would have banned most non-compete agreements. Holding that the FTC lacked statutory authority to...more

Ballard Spahr LLP

Texas Federal Judge Strikes Down FTC Non-Compete Ban

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On August 20, 2024, Judge Ada Brown of the U.S. District Court for the Northern District of Texas vacated the Federal Trade Commission’s (FTC) final Rule that the FTC enacted to ban non-compete agreements. Judge Brown held...more

Baker Donelson

Non-Competes Still Play but Employers Need to Keep Their Eye on the Ball

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If you bet against the FTC's Rule banning non-competes, the odds in your favor just got better. A Texas federal court entered an order with nationwide effect, holding that the FTC Non-Compete Rule "shall not be enforced or...more

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