On October 18, 2024, the Federal Trade Commission (“FTC”) gave notice that it would appeal a Texas federal court’s decision halting its non-compete rule (the “Rule”) from taking effect as to all employers nationwide. The...more
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
On August 14, 2024, in Properties of the Villages, Inc. v. Federal Trade Commission, No. 5:24-cv-316-TJC-PRL, the United States District Court for the Middle District of Florida enjoined the Federal Trade Commission (“FTC”)...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
In a motion for reconsideration filed on July 10, 2024, the plaintiffs in Ryan LLC v. Federal Trade Commission, No. 3:24-cv-00986-E (N.D. Tex. Apr. 23, 2024) urged the court to expand the scope of its limited preliminary...more
Earlier today, July 3, 2024, the United States District Court for the Northern District of Texas issued a preliminary injunction staying enforcement of the Federal Trade Commission’s (“FTC”) proposed final rule (“Final Rule”)...more
On April 23, 2024, the Federal Trade Commission (“FTC”) voted 3-2 to issue a proposed final rule (“Final Rule”), which, absent a successful legal challenge, will ban most noncompete agreements in the United States.
Despite...more
4/25/2024
/ Department of Labor (DOL) ,
Employment Contract ,
Federal Bans ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Non-Solicitation Agreements ,
Notice of Proposed Rulemaking (NOPR) ,
Restrictive Covenants ,
Trade Secrets
Today the Federal Trade Commission voted 3-2 to approve a Final Rule that, absent a successful legal challenge, will ban most noncompete agreements in the United States beginning 120 days after publication in the Federal...more
4/24/2024
/ Employment Contract ,
Enforcement ,
Federal Bans ,
Federal Trade Commission (FTC) ,
FTC Act ,
Non-Compete Agreements ,
Non-Disclosure Agreement ,
Non-Solicitation Agreements ,
Notice of Proposed Rulemaking (NOPR) ,
Restrictive Covenants ,
Trade Secrets
After months of speculation and intense lobbying, New York Governor Kathy Hochul vetoed a bill that would have imposed a near-total ban on employee non-competition agreements in New York State.
Governor Hochul has long...more
In what we believe are her first public statements on the New York Legislature’s proposal to ban ostensibly all non-compete agreements in New York, Governor Hochul on Thursday, November 30 reportedly told a group of...more
In this episode of The Proskauer Brief we are joined by Daryl Leon, one of the leads of Proskauer’s Restrictive Covenants, Trade Secrets and Unfair Competition Group and Edna Guerrasio, senior counsel in the Labor &...more
Noncompete agreements are under siege, facing attacks on the state and federal fronts.
This is vividly illustrated by what's happening within the Federal Trade Commission and the New York State Legislature. In the...more
Forfeiture clauses are one tactic. They provide a meaningful disincentive for employees to engage in competitive behavior.
Noncompetes are under siege on multiple fronts.
Originally published in Legal Dive - September...more
9/18/2023
/ Audits ,
Confidential Information ,
Confidentiality Agreements ,
Employee Retention ,
Enforcement ,
Federal Trade Commission (FTC) ,
Forfeiture ,
Human Capital ,
Non-Compete Agreements ,
Non-Solicitation Agreements ,
Proposed Rules
On June 21, 2023, the New York State Assembly passed a sweeping bill (Bill No. S03100/A1278B — An Act to Amend the Labor Law, in Relation to Prohibiting Non-Compete Agreements and Certain Restrictive Covenants) that, if it...more
On February 1, 2023, a coalition of U.S. Senators and Members of the House of Representatives reintroduced a bill titled the Workforce Mobility Act (the “Act”), seeking to prohibit the use and enforcement of post-employment...more
On July 9, 2021, President Biden issued an Executive Order, in which he described the nation’s antitrust laws as the “first line of defense against the monopolization of the American economy” and encouraged the Federal Trade...more
7/6/2022
/ Acquisition Agreements ,
Anti-Competitive ,
Antitrust Provisions ,
Asset Purchase Agreements ,
Biden Administration ,
Competition ,
Corporate Sales Transactions ,
Enforcement Actions ,
Executive Orders ,
Federal Trade Commission (FTC) ,
FTC Act ,
Merger Agreements ,
Monopolization ,
Non-Compete Agreements ,
Restrictive Covenants ,
The Clayton Act