News & Analysis as of

Texas Lack of Authority Federal Trade Commission (FTC)

Patterson Belknap Webb & Tyler LLP

Court Blocks FTC Rule Banning Almost All Worker Non-Compete Deals

A federal court has issued a nationwide injunction blocking enforcement of the Federal Trade Commission’s (“FTC”) new rule that would ban nearly all non-competition (“non-compete”) deals. The rule, issued on April 23, 2024...more

Jackson Lewis P.C.

Battle Over/War Isn’t: Employer Considerations Now That FTC Non-Compete Ban Is Set Aside

Jackson Lewis P.C. on

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

Weintraub Tobin

FTC Rule Ruled Unenforceable Nationwide

Weintraub Tobin on

The Federal Trade Commission issued a rule that would act as a comprehensive ban on non-compete agreements. The ban would have taken effect next month, and would have invalidated non-compete provisions in millions of existing...more

Perkins Coie

Texas District Court Upends FTC Noncompete Rule

Perkins Coie on

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

Steptoe & Johnson PLLC on

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

Wiley Rein LLP

Texas Federal District Court Sets Aside Federal Trade Commission Non-Compete Ban Nationwide

Wiley Rein LLP on

On Tuesday, August 20th, the U.S. District Court for the Northern District of Texas issued a nationwide injunction barring enforcement of the Federal Trade Commission's (FTC) ban on non-compete agreements in employment...more

Levenfeld Pearlstein, LLC

Texas Federal Court Strikes Down FTC’s Non-Compete Ban

On Tuesday, August 20, U.S. District Judge Ada Brown granted summary judgment, in favor of blocking the Federal Trade Commission’s (“FTC”) rule banning non-competes (the “Rule”). The Rule, which had been scheduled to go into...more

Shutts & Bowen LLP

Breaking News: Federal Judge Blocks Nationwide Implementation of the FTC’s New Rule Banning Noncompete Agreements

Shutts & Bowen LLP on

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

Brooks Pierce on

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

Foley Hoag LLP on

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

McDermott Will & Emery on

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

Butler Snow LLP on

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

Jenner & Block

Client Alert: Court Declares Non-Competes Back in Business

Jenner & Block on

On August 20, 2024, the United States District Court for the Northern District of Texas, in Ryan LLC et al. v. Federal Trade Commission, granted Ryan LLC and the US Chamber of Commerce’s motion for summary judgment and barred...more

Gould + Ratner LLP

Texas Federal Court Strikes Down FTC Noncompete Rule

Gould + Ratner LLP on

In the first definitive ruling on the Federal Trade Commission’s Final Rule banning most noncompete agreements, the Texas federal judge that previously granted a preliminary injunction to temporarily block the Final Rule from...more

Fox Rothschild LLP

Federal Court Blocks FTC's Ban on Noncompete Agreements

Fox Rothschild LLP on

A federal court in Texas has determined the Federal Trade Commission’s (FTC) final rule prohibiting most noncompete agreements is unlawful, meaning that for now, employers in jurisdictions that permit such agreements can...more

Morrison & Foerster LLP

Good News for Employers: Texas Court Blocks FTC’s Nationwide Non-Compete Ban

On August 20, 2024, a judge in the U.S. District Court for the Northern District of Texas granted a nationwide injunction against the Federal Trade Commission’s (“FTC’s”) rule banning non-competes with employees (the “Rule”)....more

Cole Schotz

Texas District Court Strikes Down the FTC’s Non-Compete Ban on a Nationwide Basis

Cole Schotz on

On August 20, 2024, in Ryan LLC v. Federal Trade Commission, Judge Ada Brown of the U.S. District Court for the Northern District of Texas barred the Federal Trade Commission’s (“FTC”) Non-Compete Rule (the “Rule”) from...more

Houston Harbaugh, P.C.

Texas Federal Court Strikes Down FTC Ban on Non - Competes in Ryan v. FTC

Houston Harbaugh, P.C. on

The long awaited collision between the Federal Trade Commission (FTC) and the varied political and legal opinions on the legality of Employment Non-Compete Agreements (Non-Competes) is now moving up the ladder of...more

Houston Harbaugh, P.C.

Court Puts FTC Noncompete Ban on Hold

Houston Harbaugh, P.C. on

A federal judge issued a nation-wide injunction on August 20, 2024, barring enforcement of the Federal Trade Commission‘s Rule banning noncompete agreements in the U.S. This Rule was slated to go into effect on September 4,...more

Proskauer - Law and the Workplace

Texas Federal Court Sets Aside FTC’s Non-Compete Rule, Halting It From Taking Effect on September 4, 2024

On August 20, 2024, in Ryan LLC v. Federal Trade Commission, No. 3:24-cv-00986-E (N.D. Tex.), the United States District Court for the Northern District of Texas granted summary judgment to the plaintiffs and ordered the...more

Rivkin Radler LLP

Conflicting Orders Create Uncertainty for FTC Noncompete Ban

Rivkin Radler LLP on

On April 23, 2024, the Federal Trade Commission finalized its rule enforcing a noncompete ban for a vast majority of workers. The noncompete ban is set to take effect on September 4, 2024. With limited exceptions, the rule...more

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