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#WorkforceWednesday: FTC Nixes Non-Competes Nationwide—Now What? - Employment Law This Week® - Spilling Secrets Podcast
The FTC’s Rule Banning Non-Compete Agreements | What You Need to Know
On August 20, 2024, the United States District Court for the Northern District of Texas, Dallas Division, set aside the Federal Trade Commission’s “Non-Compete Rule” (the “Rule”). ...more
A Texas court has set aside the Federal Trade Commission’s (FTC’s) Final Rule banning almost all non-compete clauses days before it was set to take effect on Sept. 4. Ryan LLC v. FTC, No. 3:24-CV-00986-E, 2024 U.S. Dist....more
On July 10, 2024, we sent you an update informing you that Judge Ada Brown of the United States District Court for the Northern District of Texas had entered a preliminary injunction blocking the Federal Trade Commission...more
Employers that rely on non-compete agreements to protect their trade secrets and other legitimate business interests got some welcome news on August 20. The Federal Trade Commission’s (FTC) final non-compete rule, which seeks...more
On August 20, 2024, a Texas federal court judge issued an order halting the Federal Trade Commission's (FTC) non-compete rule, preventing it from taking effect on September 4, 2024. The order, issued by Judge Ada Brown, held...more
This week, Judge Ada E. Brown of the U.S. District Court for the Northern District of Texas in Ryan v. The Federal Trade Commission upheld a challenge by business groups to the FTC’s non-compete ban. In addition to confirming...more
On August 20, 2024, a federal court in Texas permanently blocked the Federal Trade Commission's (FTC) final rule banning most non-competes. U.S. District Judge Ada Brown granted summary judgment in favor of the plaintiffs in...more
On August 20, 2024, the United States District Court for the Northern District of Texas (Dallas Division) struck down the Federal Trade Commission’s (FTC) non-compete rule, 16 CFR § 910.1-6, that was set to take effect...more
On Tuesday, August 20, a Texas federal judge set aside the FTC’s “Non-Compete Rule” (the “Rule”). This decision comes just two weeks before the FTC’s nationwide ban on non-competes was set to take effect. The Court stated...more
On August 20, a federal court in Texas issued an order invalidating the Federal Trade Commission’s (FTC) ban on noncompete agreements (Final Rule), which had been set to take effect on September 4, 2024. The decision, issued...more
On August 20, 2024, the U.S. District Court for the Northern District of Texas entered a final judgment (“Order”) setting aside, on a nationwide basis, the Federal Trade Commission (“FTC”) final rule (“Rule”) prohibiting...more
As of yesterday afternoon, employers across the country that utilize noncompete agreements may breathe a sigh of relief, as Judge Ada Brown beat her self-imposed deadline of August 30, 2024 and ordered an end to any...more
In a widely anticipated ruling, Judge Ada E. Brown of the United States District Court for the Northern District of Texas sided with the U.S. Chamber of Commerce and a Texas-based tax firm to block the FTC’s Final Rule...more
The Federal Trade Commission (FTC) issued an extremely broad Final Rule banning most non-competes. As expected, there have been multiple court challenges to the Final Rule, but, to date, no court has issued a nationwide...more
We have previously discussed the obligations a non-breaching party has to mitigate its own damages in the event of a contract breach. Assuming a party has mitigated its damages, this article discusses the potential remedies...more
By now, we all know that the FTC proposed a rule that will ban nearly every noncompete agreement and that a number of companies have filed legal challenges to it. This week, a federal judge in Pennsylvania weighed in, denying...more
Earlier today (July 23, 2024), Judge Hodge in the U.S. District Court for the Eastern District of Pennsylvania denied a tree care company’s motion to stay the effective date and preliminarily enjoin the Federal Trade...more
After the Federal Trade Commission (“FTC”) voted on April 23 to enact its nationwide ban on non-competes, employers and business organizations did not have to wait long—not even a day—before challengers began opposing the...more
On July 3, 2024, in Ryan LLC v. Federal Trade Commission, Judge Ada Brown of the U.S. District Court for the Northern District of Texas issued a preliminary injunction against the enforcement of the Federal Trade Commission’s...more
Judge Brown of the United States District Court for the Northern District of Texas issued a much anticipated Preliminary Injunction to stay the September 4, 2024 effective date of the FTC’s announced ban on non-compete...more
Following extensive briefing from Ryan LLC (Ryan), the U.S. Chamber of Commerce (Chamber), the Federal Trade Commission (FTC) and briefs from dozens of amicus curiae, the United States District Court for the Northern District...more
For generations, people have long debated: Is a taco a sandwich? In a recent decision, a judge in Fort Wayne, Indiana weighed in and ruled that a taco is, in fact, a sandwich. While this particular case attracted attention...more
To date, three lawsuits have been filed challenging the legality of the FTC’s Final Rule banning non-competes. The initial two cases were filed in Texas federal court, which is widely viewed as a more hospitable forum for...more
A Pennsylvania federal court refused to enforce non-competition and non-solicitation covenants in a franchise agreement of a nationwide tax preparation service franchisor. The court dismissed the franchisor’s request for...more
California passed new laws reiterating its prohibition on employment-related non-competition obligations. Assembly Bill 1076, effective January 1, 2024, provides that it is unlawful to include noncompete clauses in employment...more