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Restrictive Covenants Employees Non-Compete Agreements

Saul Ewing LLP

First Circuit Says Massachusetts Non-Compete Agreement Enforceable in California Despite State’s Ban

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Last month, in DraftKings Inc. v. Hermalyn, the First Circuit Court of Appeals issued a decision concerning the application of California’s non-compete ban to agreements formed outside the state. Broadly, the decision...more

Seyfarth Shaw LLP

No Non-Compete? Maybe not a problem as PepsiCo appears to be alive and well.

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In 2016, the Defend Trade Secret Act, 18 U.S.C. § 1836 (the “DTSA”), passed Congress and went into effect. At its heart, it effectively codified the Uniform Trade Secrets Act at the federal level, creating a federal cause of...more

Epstein Becker & Green

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

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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

Frantz Ward LLP

Unlawful “Stay-or-Pay” Provisions and Non-Competes – Whether the Employee Stays or Goes, the NLRB’s General Counsel Says It May Be...

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On Monday, October 7, 2024, the General Counsel of the National Labor Relations Board (NLRB) published Memorandum GC 25-01, continuing the NLRB’s years-long effort of targeting employment agreements viewed as restricting...more

CDF Labor Law LLP

NLRB GC Memo Calls For Aggressive Retroactive Make-Whole Remedies Against Employers 

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Last year, National Labor Relations Board (“NLRB” or “Board”) General Counsel, Jennifer Abruzzo, issued GC Memorandum 23-08 opining that, with some exceptions, the maintenance and enforcement of non-compete agreements...more

Hinshaw & Culbertson - Employment Law...

Impact for Employers: The NLRB General Counsel Doubles Down on Restrictive Covenants and Stay-or-Pay Provisions

The General Counsel of the National Labor Relations Board ("NLRB") issued Memorandum GC 25-01 on October 7, 2024, which establishes her intent to "urge the Board not only to find certain non-compete provisions unlawful, but...more

Brooks Pierce

NLRB General Counsel Doubles-Down on Non-Compete Agreement—and Takes Aim at “Stay-or-Pay” Provisions

Brooks Pierce on

On October 7, 2024, the General Counsel for the National Labor Relations Board (“NLRB”) issued a memorandum offering her perspective on damages employers may face when enforcing allegedly unlawful non-compete agreements, and...more

Ballard Spahr LLP

Maryland Employers: Six Must-Know Employment Law Changes

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The Maryland legislature recently passed several laws that affect pay transparency, family and medical leave, the scope of the State’s antidiscrimination laws, workplace safety, and noncompete agreements. As many of these new...more

Ballard Spahr LLP

ATS Withdraws Challenges to the FTC’s Final Non-Compete Rule After the Eastern District of Pennsylvania Denies its Motion to Stay...

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ATS Tree Services, LLC (“ATS”) has voluntarily dismissed the lawsuit it filed in April 2024 in the U.S. District Court for the Eastern District of Pennsylvania challenging the Federal Trade Commission’s (“FTC”) Non-Compete...more

Seyfarth Shaw LLP

Pennsylvania Plaintiff Drops Challenge to FTC Non-Compete Rule

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On October 4, 2024, Plaintiff ATS Tree Services, LLC (“ATS”) voluntarily dismissed its claims against the FTC challenging the agency’s Non-Compete Rule. See ATS Tree Services, LLC v. Fed. Trade Comm’n, et al., No....more

Carlton Fields

Court Enjoins FTC Noncompete Ban: Appeal Likely

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A federal judge in Texas has enjoined the Federal Trade Commission’s ban on noncompete agreements, leaving the FTC’s attempt to quash such agreements waiving in the breeze, at least for the time being....more

Seyfarth Shaw LLP

Noncompete Agreements – Employer Options and Strategies to Reduce Risks

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Seyfarth Synopsis: The federal district court for the Northern District of Texas has issued an order in the Ryan case staying the effective date on a nationwide basis the Federal Trade Commission (FTC) Rules banning...more

Ballard Spahr LLP

Next Steps for Employers After FTC Noncompete Rule Enjoined

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What’s next for employers who want to protect their businesses from competition from departing employees, including the loss of customers, employees, and confidential information? With a federal court injunction against the...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

Troutman Pepper

States' Action Still Viable Despite Ban of FTC Noncompete Rule

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The Northern District of Texas’s nationwide ban on the Federal Trade Commission’s noncompete rule isn’t a complete bar to government enforcement. The rule sought to curb unfair methods of competition and would have voided...more

Cranfill Sumner LLP

Texas Court Strikes Down FTC’s Noncompete Ban Nationwide

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On August 20, 2024, United States District Judge Ada Brown (Northern District of Texas) issued an order that the Federal Trade Commission’s controversial noncompete ban “shall not be enforced or otherwise take effect on...more

Troutman Pepper

FTC Noncompete Rule Risks a Wave of State AG Actions

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On April 23, the FTC promulgated its final rule banning noncompetes nationwide. Originally published in Law360 - May 23, 2024....more

Quarles & Brady LLP

Texas Federal Judge Strikes Down FTC Non-Compete Ban

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Judge Ada Brown of the U.S. District Court for the Northern District of Texas on Tuesday struck down the Federal Trade Commission’s (FTC) pending ban on non-compete covenants, concluding that the issuance of the FTC’s Rule...more

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

Ballard Spahr LLP

Texas Federal Judge Strikes Down FTC Non-Compete Ban

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On August 20, 2024, Judge Ada Brown of the U.S. District Court for the Northern District of Texas vacated the Federal Trade Commission’s (FTC) final Rule that the FTC enacted to ban non-compete agreements. Judge Brown held...more

Troutman Pepper

Texas Court Issues National Injunction Barring Enforcement of the FTC’s Noncompete Ban

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In a complete victory for plaintiffs, a Texas court permanently enjoined the Federal Trade Commission’s (FTC) rule banning nearly all employee noncompetes. In the absence of the court’s decision, the rule had been scheduled...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

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

Seyfarth Shaw LLP

More Bad News for the FTC: Federal Court in Florida Enjoins Enforcement of Non-Compete Ban

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Wednesday, a third court weighed in on the FTC’s proposed ban on non-competes, set to go into effect on September 4, 2024. Judge Corrigan of the United States District Court for the Middle District of Florida granted the...more

Ballard Spahr LLP

Pennsylvania's New Noncompete Law Changes the Rules for Health Care Employers

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Pennsylvania’s new Fair Contracting for Health Care Practitioners Act limits the use of certain restrictive covenants between employers and health care workers and imposes heightened patient notice obligations on applicable...more

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