News & Analysis as of

Non-Compete Agreements NLRB General Counsel Federal Trade Commission (FTC)

Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a... more +
Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a certain industry or locale. The purpose of these agreements is to protect employers or business purchasers from competition stemming from former employees or former owners of a business. less -
Epstein Becker & Green

NLRB General Counsel Calls for Crack Down and Harsh Remedies for Non-Competes and “Stay or Pay” Provisions

Epstein Becker & Green on

National Labor Relations Board (“Board”) General Counsel Jennifer Abruzzo (“Abruzzo”) issued a General Counsel Memo (Memo GC 25-01) last week signaling that employers could face civil prosecution and significant monetary...more

Davis Wright Tremaine LLP

NLRB General Counsel Expands Attack on Non-Competes, Including Stay-or-Pay Provisions

Continuing in the vein of earlier attempts to crack down on non-competition agreements for employees who are covered under the National Labor Relations Act (the "Act"), the General Counsel of the National Labor Relations...more

ArentFox Schiff

NLRB General Counsel Further Cautions on Employers’ Use of Noncompetes and ‘Stay-or-Pay’ Provisions

ArentFox Schiff on

On October 7, Jennifer Abruzzo, General Counsel for the National Labor Relations Board (NLRB), issued a memorandum reinforcing her stance that most post-employment noncompete agreements violate Section 7 of the National Labor...more

Keating Muething & Klekamp PLL

NLRB General Counsel Expands Focus on Non-Compete Agreements and Stay-Or-Pay Agreements

This summer, eyes were focused on the Federal Trade Commission and its announced rule seeking to invalidate millions of non-compete agreements across the country. That rule was ultimately struck down in the Court, but federal...more

Foster Swift Collins & Smith

[Webinar] 2024 Labor & Employment Law Virtual Update - September 18th, 8:30 am - 11:00 am ET

It has been a particularly busy year on the labor and employment law front. To learn more about the major challenges employers face and developments your organization needs to address before year's end, we encourage you to...more

Spilman Thomas & Battle, PLLC

Walking the Tightrope to Enforce a Non-Compete in 2024

Non-competition agreements are not doing so hot. Recently, more states have outlawed or tightened restrictions on them, and the federal government has stepped into the fray in policing them. For example, the Federal Trade...more

Eversheds Sutherland (US) LLP

FTC approves final rule banning noncompetition agreements

Restrictive covenants have traversed a tumultuous road since the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking (NPRM) on January 5, 2023, purporting to ban noncompetition agreements throughout the...more

Cooley LLP

How Does the Latest Crackdown on Noncompete Agreements Affect Employers?

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Noncompete agreements have come increasingly under attack at the federal and state level in 2023. In this alert, we review notable recent developments on the legality of continuing to use noncompete agreements in the...more

Parker Poe Adams & Bernstein LLP

NLRB Files Complaint Over Employer's Use of Noncompetes and Reimbursement Requirements

Earlier this year, the National Labor Relations Board’s General Counsel released a memorandum taking the position that many employers’ use of noncompetition and related agreements violates the National Labor Relations Act by...more

Saiber LLC

The Changing Landscape of Non-Competes and Restrictive Covenants

Saiber LLC on

A common example of a non-compete restriction is a new CPA who signs such an agreement as part of his or her onboarding paperwork. Years later, the CPA considers moving to another firm, or opening their own firm, but that...more

Kerr Russell

Status Of Covenants Not To Compete And Liquidated Damages Provisions

Kerr Russell on

Question: Are covenants not to compete and liquidated damages provisions in employment agreements still enforceable? I have seen news reports about the Federal Trade Commission and National Labor Relations Board being...more

Nutter McClennen & Fish LLP

Non-Compete Roundup: Outright Non-Compete Bans Pass; More Pending

As momentum for regulation of non-competes grows at the federal level, states continue to pass restrictive non-compete legislation on their own. As previously reported, on January 5, 2023 the Federal Trade Commission...more

Lathrop GPM

Piling On - NLRB General Counsel Joins the Crusade Against Noncompete Agreements

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In a memorandum released on May 30, 2023, the National Labor Relations Board (“NRLB”) General Counsel opined that noncompete agreements may violate the federal National Labor Relations Act (“NLRA”). In doing so, the General...more

Bricker Graydon LLP

As Clear as Mud - The Future of Non-Competes

Bricker Graydon LLP on

There seems to be a lot of news these days involving non-compete agreements. Many companies are wondering whether their current non-competes are still enforceable, or if they should put a new one in place. ...more

Tucker Arensberg, P.C.

Federal Government Continues Assault on Non-Compete Agreements

Tucker Arensberg, P.C. on

Making sense of the NLRB’s effort to limit non-compete agreements. In late May, Jennifer Abruzzo, the General Counsel for the National Labor Relations Board (NLRB), issued Memorandum GC 23-08, in which she expressed her...more

Spilman Thomas & Battle, PLLC

NLRB General Counsel Versus Covenants Not to Compete: What This Latest Fight Means for Your Business

In recent years, non-compete agreements have been a subject of scrutiny in the United States, with concerns raised over their potential impact on employee mobility and labor market competitiveness. In 2021, President Joe...more

Miles & Stockbridge P.C.

NLRB Targets Noncompete Agreements

In a continued effort to crack down on provisions in employment agreements, the National Labor Relations Board’s General Counsel (“GC”) announced that she will find most noncompete agreements between private sector employers...more

Spilman Thomas & Battle, PLLC

NLRB’s GC Piles on to Increase Regulatory Scrutiny of Non-Compete Agreements

As we have often discussed, the National Labor Relations Board under the Biden administration has prioritized expanding employees’ rights under Section 7 of the National Labor Relations Act (the “Act”). Most recently, in GC...more

Woods Rogers

Do Non-Compete Agreements Violate the NLRA?

Woods Rogers on

On May 30, 2023, National Labor Relations Board (NLRB) General Counsel Jennifer Abruzzo issued a memorandum stating her position that non-compete agreements violate the National Labor Relations Act (NLRA) and encouraging the...more

White and Williams LLP

National Labor Relations Board (NLRB) General Counsel Tackles Non-Compete Agreements

White and Williams LLP on

The General Counsel for the National Labor Relations Board (“Board’) issued a Memorandum on May 30th delineating her position that noncompete agreements interfere with an employee’s rights under Section 7 of the National...more

Bradley Arant Boult Cummings LLP

Noncompetes Are in the NLRB’s Crosshairs – Can Trade Secret Protections Save Them?

Can you still have noncompete agreements with your employees? What if you explicitly state that the agreement protects trade secrets or other proprietary information? There has been a lot of buzz about this issue, and...more

Smith Anderson

NLRB General Counsel Says Non-Competes Are Unlawful

Smith Anderson on

Under the Biden administration, administrative agencies have taken aggressive action attempting to banish non-competes and similar agreements from the workplace. On January 5, 2023, the Federal Trade Commission (“FTC”)...more

Smith Gambrell Russell

NLRB General Counsel Declares Most Non-Compete Provisions Illegal Under the NLRA

Smith Gambrell Russell on

On May 30, 2023, the General Counsel of the National Labor Relations Board (“NLRB”) issued a memorandum (the “Memorandum”) to all NLRB Regional Directors, Officers-in-Charge, and Resident Officers concluding that most...more

Greenbaum, Rowe, Smith & Davis LLP

NLRB General Counsel Issues New Challenge to Non-Competes; Asserts Violation of Federal Labor Law in Most Instances

What You Need to Know- •The NLRB’s General Counsel issued a memo asserting that non-competes in employment or severance agreements violate the National Labor Relations Act except in limited circumstances. •While the...more

Cranfill Sumner LLP

The War on Noncompete Agreements: NLRB General Counsel Says the NLRA Forbids Them

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On May 30, 2023, Jennifer Abruzzo, General Counsel for the National Labor Relations Board (“NLRB”), issued a memorandum arguing that noncompete agreements, in most circumstances, violate Sections 7 and 8 of the National Labor...more

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