News & Analysis as of

Federal Trade Commission (FTC) Arbitrary and Capricious Federal Bans

Kerr Russell

FTC’s Ban on Covenants Not to Compete Remains on Hold

Kerr Russell on

The legal arguments advanced in these court cases mainly concern whether the FTC has the statutory authority to enact such a ban. Shortly before the September 4, 2024 effective date of FTC’s ban on covenants not to compete,...more

Goodell, DeVries, Leech & Dann, LLP

FTC Final Rule on Noncompete Clauses: Pending Litigation

There are several legal challenges to the Federal Trade Commission’s (FTC) ban on noncompete clauses in employment agreements. There have been multiple lawsuits in varying federal district courts that seek to delay or...more

Jenner & Block

Non-Competition Agreements; FTC Rule Status

Jenner & Block on

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

Baker Botts L.L.P.

Competition Currents: Summer's Hottest Headlines and Future Forecast

Baker Botts L.L.P. on

Put down the lemonade and break out the pumpkin spice: summer is coming to an end. And while you were in the pool – or maybe just answering emails poolside – the antitrust agencies showed no signs of a summer slowdown. Before...more

Epstein Becker & Green

#WorkforceWednesday®: After the Block - What’s Next for Employers and Non-Competes? - Spilling Secrets Podcast - Employment Law...

Epstein Becker & Green on

This week, on our Spilling Secrets podcast series, our panelists delve into the implications for employers following the recent blockage of the Federal Trade Commission’s (FTC’s) non-compete ban. On August 20, 2024, the U.S....more

Stokes Wagner

Federal Noncompete Ban Struck Down

Stokes Wagner on

The District Court for the Northern District of Texas issued a decision striking down the Federal Trade Commission’s rule banning non-compete agreements, which was set to take effect on September 4, 2024....more

Buckingham, Doolittle & Burroughs, LLC

Federal Judge Blocks FTC Non-Compete Ban

The wait is over. On August 20, 2024, the United States District Court for the Northern District of Texas blocked the Federal Trade Commission’s (FTC) proposed ban on non-compete agreements...more

Weintraub Tobin

FTC Rule Ruled Unenforceable Nationwide

Weintraub Tobin on

The Federal Trade Commission issued a rule that would act as a comprehensive ban on non-compete agreements. The ban would have taken effect next month, and would have invalidated non-compete provisions in millions of existing...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

Venable LLP

FTC Rule Largely Banning Non-Competes Put on Ice by Federal Judge

Venable LLP on

This past April, the Federal Trade Commission (FTC) proposed a rule (Rule) that amounted to a near total nationwide ban on employers’ use of non-compete agreements. Since its announcement, employers have actively attempted to...more

Perkins Coie

Texas District Court Upends FTC Noncompete Rule

Perkins Coie on

In the case of Ryan LLC v. Chamber of Commerce of the United States of America, et al., Judge Ada Brown of the U.S. District Court for the Northern District of Texas issued an order with “nationwide effect” on August 20,...more

Skadden, Arps, Slate, Meagher & Flom LLP

FTC Noncompete Rule Is Set Aside, But Appeal Is Expected and States May Act

On August 20, 2024, in Ryan LLC v. Federal Trade Commission, a district court in the Northern District of Texas held “unlawful and set[] aside” the Federal Trade Commission’s (FTC) Non-Compete Rule, 16 C.F.R. § 910.1–.6. That...more

Parker Poe Adams & Bernstein LLP

Federal Court Strikes Down FTC Noncompete Rule

For those of you who have been following along with the Federal Trade Commission’s (FTC) looming noncompete ban and the various challenges it has presented, there comes good news for employers from a Texas federal court....more

Steptoe & Johnson PLLC

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

Steptoe & Johnson PLLC on

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

Kaufman & Canoles

FTC Noncompete Will Not Go into Effect on September 4

Kaufman & Canoles on

A Texas federal court in Ryan LLC v. FTC issued an opinion and order on August 20 setting aside the FTC Noncompete Ban (the “FTC Rule”) on a nationwide basis. Specifically, the Court found the FTC Rule to be “arbitrary and...more

Constangy, Brooks, Smith & Prophete, LLP

The FTC noncompete ban is dead. Here are five steps employers should take now.

You no doubt have heard that on August 20, a federal judge in the Northern District of Texas set aside the Rule issued by the Federal Trade Commission that sought to ban virtually all noncompetition agreements as unfair...more

Holland & Knight LLP

District Court in Texas Sets Aside FTC Non-Compete Rule

Holland & Knight LLP on

In Ryan LLC v. Federal Trade Commission, the U.S. District Court for the Northern District of Texas on Aug. 20, 2024, set aside the Federal Trade Commission's (FTC) Non-Compete Rule, as promulgated in 16 C.F.R. § 910.1-6...more

Venable LLP

Court Rules FTC’s Non-Compete Rule Is Unenforceable Nationwide

Venable LLP on

The Federal Trade Commission’s (FTC) rulemaking crusade suffered a serious blow this week, when Judge Ada Brown of the Northern District of Texas set aside the agency’s Final Rule that made most employment-related non-compete...more

Saiber LLC

U.S. District Judge Strikes Down FTC’s Rule to Ban Non-Compete Agreements

Saiber LLC on

On April 23, the FTC issued a final Rule banning non-compete agreements between employers and workers. The FTC Rule was scheduled to take effect on September 4, and plaintiffs in at least three litigations challenged the...more

Goodwin

Texas Court Finds FTC Noncompete Ban Unlawful with Nationwide Effect

Goodwin on

On Tuesday, August 20, 2024, a federal judge in Texas issued an order finding unlawful – and prohibiting the enforcement of – a rule issued by the Federal Trade Commission (the “FTC”) that prohibited the use of most...more

Bricker Graydon LLP

FTC’s Non-Compete Ban is Dead - RIP

Bricker Graydon LLP on

In breaking news that will surprise … absolutely no one, a federal judge ruled yesterday that the FTC overstepped its authority when it issued a sweeping national ban on non-compete agreements. The decision came out of Texas...more

Moore & Van Allen PLLC

FTC’s Non-Compete Ban Blocked

Moore & Van Allen PLLC on

Bottom line: As of Tuesday night, the FTC’s non-compete rule has been set aside, cannot be enforced, and will not become effective on September 4, 2024. As an update to our prior alert regarding the Federal Trade...more

Shutts & Bowen LLP

Breaking News: Federal Judge Blocks Nationwide Implementation of the FTC’s New Rule Banning Noncompete Agreements

Shutts & Bowen LLP on

On August 20, 2024, U.S. District Judge Ada Brown in Texas issued a final order in the pending case, Ryan v. FTC, holding that the Federal Trade Commission (FTC) exceeded its authority in issuing a ban on noncompete clauses....more

Sheppard Mullin Richter & Hampton LLP

Final Word on Final Rule? Texas District Court Eviscerates FTC’s Non-Compete Ban

On July 3, 2024, Judge Ada Brown of the U.S. District Court for the Northern District of Texas entered a limited, preliminary injunction barring the Federal Trade Commission (“FTC”) from enforcing its controversial Final Rule...more

Brooks Pierce

Texas Court Issues Nationwide Ban on FTC’s Non-Compete Rule; Appeals Expected

Brooks Pierce on

On August 20, 2024, a Texas federal court ruled that the FTC’s final rule banning most non-compete agreements (the “Non-Compete Rule”) cannot go into effect as scheduled. Many employers had been preparing to comply with the...more

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