On August 20, 2024, the U.S. District Court for the Northern District of Texas in Ryan, LLC v. FTC, held that the Federal Trade Commission’s non-compete rule is unlawful and ordered that the FTC’s non-compete rule would not take effect on September 4, 2024, or thereafter. The ruling prevents the FTC from enforcing the rule against any company nationwide. Also in August, a Florida court issued an order prohibiting Read More
BAKER JENNER CLIENT ALERT! WHAT YOU NEED TO KNOW – FTC ISSUES FINAL RULE ON NON-COMPETES, SUBSTANTIALLY ALTERING THE RELATIONSHIPS ON WHICH BUSINESSES DEPEND
The below is merely informational and does not communicate, whether intentionally or otherwise, any legal, compliance or other advice. In our February 2023 Client Alert, we advised that the Federal Trade Commission (“FTC”) had issued its proposed rule prohibiting non-competes nationally, an early policy initiative of the Biden Administration. Over a year later, on April 23, 2024, the FTC issued its 570-page Final Read More
BAKER JENNER ALERT: FTC Proposes New Rule Banning Noncompete Clauses
In our August 2021 BAKER JENNER ALERT, we advised our clients and colleagues about the Biden Administration’s new policy initiative, centered on eliminating noncompete restrictions applicable to many aspects of the American workplace. Following, on January 5 and 19, 2023, the Federal Trade Commission (FTC) unrolled its sweeping new proposed rule that would ban noncompete restrictions on workers and others. A copy of Read More
Biden’s Executive Order Targeting Non-Competes—How Scary is its Bite?
With consolidation looming large in health care, tech, social media, internet platform providers, and other industries, non-compete agreements are receiving renewed scrutiny at the political and regulatory levels. This renewed scrutiny coincides with recent bad press concerning some national employers’ injudicious uses of non-competes to restrict low-wage and rank-and-file employees. President Biden has now Read More
Top 5 Things to Consider in a Non-Compete Agreement
Participating in an increasingly globalized and competitive marketplace underscores the importance of companies’ having effective restrictive covenants. While there are several types of restrictive covenants, this blog will focus on employee (including executive) non-compete agreements. Due to their more onerous nature, non-competes traditionally introduce a number of challenges, both for the company seeking one and Read More
