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Proposed Regulation Non-Compete Agreements Employer Liability Issues

Seyfarth Shaw LLP

Why the negative impact of non-competes is overstated (Part 2)

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As we discussed in our previous blog on non-competes (as well as other types of restraint of trade), the move to add regulation has been gaining momentum since Federal Treasurer Jim Chalmers announced in August 2023 a...more

Seyfarth Shaw LLP

Why the negative impact of non-competes is overstated

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It seems like death by a thousand cuts. In August last year, Federal Treasurer Jim Chalmers announced a Competition Review to examine competition laws, policies and institutions to focus on reforms that would increase...more

Troutman Pepper

A Look at Three Noncompete Bans Under Consideration in NYC

Troutman Pepper on

Q: Is New York City considering a total ban on noncompete agreements? A: Yes — a total ban on noncompete agreements would be the result of one of the three noncompete bills currently pending in the New York City Council,...more

Verrill

Section 457(f) Plans and Noncompete Clauses: What the IRS Gave, the FTC May Take Away

Verrill on

When the IRS published proposed regulations harmonizing key provisions of Code Sections 409A and 457(f) in 2016, executive compensation lawyers and consultants rejoiced. It was not just that a long wait was over (roughly nine...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

Brooks Pierce

FTC to Vote on April 23 on Proposed Rule Banning Non-Competition Agreements

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On April 16, 2024, the FTC announced the agency will hold a special Open Commission Meeting at 2 p.m. (Eastern) on April 23 to vote on its proposed rule to ban the use of non-compete provisions in the employment context...more

Littler

Overview of the New Proposed Rules on Non-Compete Clauses in the Netherlands

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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

Seyfarth Shaw LLP

NYC Council Proposes Broad Non-Compete Ban

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Seyfarth Synopsis: While New York State failed to pass a non-compete ban last year, a new bill in the New York City Council would eliminate non-compete agreements entirely, presenting new challenges and considerations for...more

Gibney Anthony & Flaherty, LLP

New York Governor Vetoes Proposed Noncompete Ban

On December 22, 2023, New York Governor Kathy Hochul vetoed S3100, a bill which would have prohibited virtually all contractual noncompete agreements restricting workers’ ability to leave their job for a role with a rival...more

DarrowEverett LLP

Q3 Employment Law Updates: Enforcement Actions Bring Much for Employers to Consider

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The third quarter of 2023 has been pretty exciting as far as employment lawyers are concerned. Substantial regulations have been proposed and the pressure from federal agencies continues to rise. We will talk about some of...more

Seyfarth Shaw LLP

New York Inching Toward Ban of Employee Non-Compete Agreements

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Seyfarth Synopsis: The New York State Assembly has joined the State Senate in passing legislation to prohibit non-compete clauses in employment contracts. The bill now heads to the Governor and, if signed into law, would void...more

Woods Rogers

Do Non-Compete Agreements Violate the NLRA?

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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

Stradling Yocca Carlson & Rauth

The NLRB Strikes Again, this Time It’s Noncompete Agreements

On May 30, 2023, Jennifer Abruzzo, General Counsel for the National Labor Relations Board (the “NLRB”), issued a memo arguing that requiring employees to sign non-competition agreements violates the National Labor Relations...more

Steptoe & Johnson PLLC

NLRB's General Counsel Declares That Non-Compete Agreements Should Be Unenforceable

On May 30, Jennifer A. Abruzzo, general counsel for the National Labor Relations Board (NLRB), issued new directives regarding the enforceability of non-compete agreements. Abruzzo’s memorandum contends generally that...more

Parker Poe Adams & Bernstein LLP

Noncompetes Violate Federal Labor Law, Says National Labor Relations Board's General Counsel

In the wake of the Federal Trade Commission’s recent proposal to void noncompetition agreements between employers and employees, another federal agency has joined the push to restrict the use of restrictive covenants in...more

Keating Muething & Klekamp PLL

New NLRB General Counsel Guidance Threatens Ability to Enforce Non-Compete Agreements

Employers seeking to enforce non-compete agreements against their former employees will face a new hurdle following the latest news out of Washington, DC. National Labor Relations Board (“NLRB”) General Counsel Jennifer A....more

Conn Kavanaugh

How Will Proposed FTC Rule on Non-Compete Agreements Affect Your Business?

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On January 5, 2023, the Federal Trade Commission (FTC) announced a proposed rule that, if enacted, would amount to a near-total ban on the use of non-compete agreements nationwide. If enacted as written, the FTC’s proposed...more

Steptoe & Johnson PLLC

Don’t Forget Taxes When Negotiating Non-Competes

Steptoe & Johnson PLLC on

Exception to FTC Proposal Although the Federal Trade Commission (FTC) has proposed a ban on non-compete agreements, the proposal contains an exception in certain business acquisitions where the seller enters into a...more

Shutts & Bowen LLP

Federal Trade Commission Seeks to Ban Non-Competition Agreements

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Only three months after the introduction of a bill to the House of Representatives that, if passed, will ban non-compete agreements nationwide for non-exempt employees, on January 5, 2023, the Federal Trade Commission (“FTC”)...more

Schwabe, Williamson & Wyatt PC

FTC Proposes Regulations Barring Non-Compete Agreements

On July 9, 2021, President Biden signed an Executive Order requesting that agencies, including the Federal Trade Commission (FTC), issue rules banning employers from entering non-compete agreements with employees. Following...more

Faegre Drinker Biddle & Reath LLP

Washington, D.C.’s Non-Compete Ban Delayed Again

The Washington, D.C. Ban on Non-Compete Agreements Act of 2020 (D.C. Act) is on hold once again, this time due to emergency legislation signed by Mayor Muriel Bowser earlier this week.  The new legislation pushes the D.C....more

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