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What's the Tea in L&E? Alert: Non-Compete Agreements Largely Banned by New FTC Rule
FTC Final Rules Banning Non-Competes Vote Next Tuesday - As you know, last year, the FTC issued a proposed rule banning virtually all non-compete agreements (which does not include non-solicitation agreements,...more
For years there has been much discussion in the Netherlands about the non-compete clause, which also includes the non-solicitation clause. These clauses were often included in employment contracts, restricting employees’...more
On January 11, 2024, an administrative law judge for the NLRB issued an opinion holding that the employment agreement used by a major mortgage lender for all of its approximately 6,000 employees violates the National Labor...more
On January 5, the Federal Trade Commission caught the attention of employers across the country by issuing a Notice of Proposed Rulemaking (NPRM). The proposed rule would ban the vast majority of non-compete clauses used in...more
On July 9, 2021, President Biden signed the Executive Order on Promoting Competition in the American Economy which, among other directives, encourages the Federal Trade Commission (FTC) to exercise its statutory rulemaking...more
On July 7, 2021, President Biden announced that he intends to sign an executive order targeting employer-employee non-compete covenants (agreements) nationwide through the Federal Trade Commission (FTC). The FTC investigates...more
Don’t be misled: President Biden’s July 9 Executive Order does not bar non-compete agreements. Rather, it “encourages” the Chair of the Federal Trade Commission to use rule-making to limit their use....more
Last week the Federal Trade Commission (FTC) announced the creation of a new rulemaking group within the FTC’s Office of the General Counsel. The announcement and other statements signal that the FTC under Acting Chairwoman...more
The National Labor Relations Board (the “NLRB”) announced yesterday that it will issue its final rule for determining joint-employer status under the National Labor Relations Act (the “NLRA”) today, February 26, 2020. This...more
This morning the National Labor Relations Board (the “Board”) unveiled the final rule setting forth the new legal test it will apply in analyzing whether affiliated businesses are “joint employers”. The final rule, which will...more
As noted in an earlier Alert, on January 9, 2020, the Federal Trade Commission held a public workshop and invited public comments on whether the FTC should issue a rule that would restrict or prohibit the use of non-competes...more
Although non-competes are generally viewed as matters governed by state law, the issue is increasingly under the scrutiny of federal lawmakers and regulators. The FTC has been studying non-compete clauses and their impact on...more
The Federal Trade Commission (FTC) is considering a rulemaking to address the use of non-compete provisions in employment contracts. On January 9, 2020, the FTC held a day-long workshop to start a public conversation on...more
In short, the petitioners asked for a rule that non-competes are an unfair method of competition that is illegal per se under Section 5(a) of the Federal Trade Commission Act. Further, they asked that any employer presenting,...more
Within the last five months, the two executive arms responsible for enforcing antitrust laws—the US Department of Justice (“DOJ”) and the Federal Trade Commission (“FTC”)—held public workshops to examine the effect of...more
On 9 January 2020 the Federal Trade Commission (FTC) held a public workshop in Washington, D.C. to assess whether it should "promulgate a Commission Rule that would restrict the use of non-compete clauses in employer-employee...more
In this first new episode of 2020 (Season 4), we look at the 15 hot topics your company should have on your list to think about....more
Provisional Measure # 905 (“PM”), published on November 12, 2019, establishes a new type of labor relationship in Brazil. The PM aims to reduce the alarmingly high unemployment rate affecting younger workers in the country,...more
Right of First Refusal EO Revoked. Last week, President Trump issued an Executive Order revoking Executive Order 13495 issued by President Obama in January 2009. EO 13495 required that successor Federal service contractors...more
Senators Chris Murphy (D-Conn.) and Todd Young (R-Ind.) have introduced legislation entitled the Workforce Mobility Act (“WMA”). The WMA, like its prior incarnation from last year, seeks to ban non-compete agreements outside...more
The EU has granted the UK another extension for the Brexit process, giving Britain until January 31 to leave (unless its Parliament passes a divorce deal sooner)....more
The Council of the District of Columbia is considering a new bill that would ban the use of non-compete restrictions for workers below certain income thresholds—and impose stiff penalties upon employers who include such...more
Seyfarth Synopsis: A new decision reinforces that the National Labor Relations Board will invalidate arbitration agreements that explicitly, or when reasonably interpreted, prohibit filing administrative charges....more
Academics and advocacy groups—including nonprofit organizations and several major labor unions—have filed a petition with the Federal Trade Commission asking the agency to initiate the rulemaking process and ban non-compete...more
Litigation continues over the standard for determining how and under what circumstances a joint-employer relationship can exist. On December 28, 2018, the United States Court of Appeals for the District of Columbia Circuit...more