News & Analysis as of

Federal Trade Commission (FTC) Employees Arbitrary and Capricious

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

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

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

Perkins Coie

Texas District Court Upends FTC Noncompete Rule

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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

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

Moore & Van Allen PLLC

FTC’s Non-Compete Ban Blocked

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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

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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

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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

Eversheds Sutherland (US) LLP

Failure to launch – Texas court grants nationwide permanent injunction, icing the FTC’s noncompete ban indefinitely

The Federal Trade Commission’s (FTC) nationwide ban on post-employment noncompetition agreements is no more following a Northern District of Texas judge’s ruling imposing a nationwide permanent injunction. Although a long and...more

Foley Hoag LLP

Federal Judge Blocks FTC’s Noncompete Rule Nationwide

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On August 20, 2024, Judge Brown of the Northern District of Texas blocked the FTC’s Final Rule banning noncompetes. The decision comes just over a month after Judge Brown’s preliminary injunction order, which stayed the rule...more

McDermott Will & Emery

Texas Court Issues Nationwide Injunction Striking Down the FTC Noncompete Ban

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On August 20, 2024, the US District Court for the Northern District of Texas issued a nationwide injunction barring the Federal Trade Commission’s (FTC) Final Rule that bans all noncompete agreements. The court’s findings...more

Schwabe, Williamson & Wyatt PC

Court Blocks FTC’s Nationwide Ban on Non-Compete Agreements

On August 20, the U.S. District Court for the Northern District of Texas in Ryan, LLC et al. v. Federal Trade Commission, granted the plaintiffs’ motions for summary judgment and found the Federal Trade Commission’s ban on...more

Butler Snow LLP

Texas Court Enjoins FTC From Enforcing Noncompete Rule

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As expected, a Texas federal court issued a ruling on August 20, 2024, declaring that the Federal Trade Commission’s (“FTC’s”) new rule purporting to ban nearly all noncompete agreements shall not “take effect on its...more

DarrowEverett LLP

What Texas Court’s Decision on Non-Competes Means for Businesses

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The Federal Trade Commission’s (FTC) ambitious attempt to implement a nationwide ban on non-compete agreements (with limited exceptions) has hit a significant legal roadblock. On August 20, 2024, U.S. District Judge Ada Brown...more

Seyfarth Shaw LLP

BREAKING: Federal Judge Rules FTC’s Non-Compete Ban to be Set Aside Nationwide

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This just in: Judge Ada Brown ruled yesterday on the parties’ dueling summary judgment motions – 10 days before her self-imposed deadline to do so – in Ryan LLC v. FTC. Judge Brown granted the plaintiffs’ motion for summary...more

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