Non-Compete Agreements

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On July 3, 2024, Judge Ada E. Brown of the United States District Court for the Northern District of Texas issued a preliminary injunction in Ryan et al. v. Federal Trade Commission, preventing the FTC’s rule banning most noncompetes from going into effect, but only for the party who brought the litigation challenging the rule, Ryan, Inc. The Court promised that it would enter a final ruling on the merits of the action by August 30, 2024—just days before the FTC rule is set to go into effect. That final ruling likely will have implications for the rule’s enforceability throughout the nation.Continue Reading Judge Preliminarily Pauses FTC Noncompete Ban as Applied to the Texas Challengers; Ruling on the Merits Expected in August

In an open commission meeting on Tuesday, April 23, 2024, the Federal Trade Commission (FTC) voted 3-to-2 to ban nearly all non-compete agreements between employers and workers (broadly defined to include employees, independent contractors, and others, whether paid or unpaid). The effective date of the final rule could be on or about August 23, 2024, depending on the success of legal challenges, which have already commenced. Continue Reading Federal Trade Commission Approves Final Rule Banning Nearly All Worker Non-Competes