News & Analysis as of

FTC Act Non-Compete Agreements Restrictive Covenants

Wiley Rein LLP

FTC Takes on Noncompete Agreements as New State Laws Take Effect

Wiley Rein LLP on

Noncompete agreements are the focus of a new enforcement activity by the FTC this month while states continue to restrict their use. Below are key takeaways for all employers who use noncompete agreements and further...more

Kilpatrick

FTC’s Rule Banning Non-Competes is Benched, But Enforcement Actions Are in Play

Kilpatrick on

This Alert is the latest installment in our reporting on the Federal Trade Commission’s (“FTC”) 2024 rule banning non-competes and the future of the Commission’s strategy for regulating the use of restrictive covenants in the...more

Proskauer - Law and the Workplace

FTC Signals Forthcoming Non-compete Enforcement Actions

On September 4, 2025, the FTC announced an enforcement action and proposed settlement with Gateway Pet Memorial Services (the “Company”), a pet cremation company, over the Company’s overuse of post-employment non-competes...more

Troutman Pepper Locke

FTC Stakes Out Its Position on Worker Noncompetes

Troutman Pepper Locke on

Three nearly simultaneous actions of the Federal Trade Commission (FTC) confirmed its intentions with respect to employee noncompetes. In the first two related actions, the FTC indicated it will not defend its 2024 rule...more

Stevens & Lee

FTC Ends Defense of Its Noncompete Ban and Announces Enforcement Initiatives

Stevens & Lee on

As anticipated, a recently reconstituted Federal Trade Commission (FTC or Commission) announced on Friday that it would no longer defend its previously issued rule (Rule) banning most noncompete agreements. See our prior post...more

White & Case LLP

Update: FTC Abandons Non-Compete Rule and Simultaneously Initiates Targeted FTC Noncompete Enforcement Action

White & Case LLP on

On September 4, 2025, the US Federal Trade Commission filed an enforcement action and simultaneous proposed settlement against a pet cremation company for abuse of employer-employee post-termination non-competes as an...more

UB Greensfelder LLP

FTC Moves to Protect Workers from Anticompetitive Agreements by Issuing Action Against Gateway Services

UB Greensfelder LLP on

The Federal Trade Commission’s (FTC’s) non-compete rule may be effectively dead, but the agency’s focus on non-compete agreements is very much alive. In February, FTC Chairman Andrew Ferguson launched a Joint Labor Task Force...more

WilmerHale

Post-Mortem on the FTC’s Blocked Non-Compete Rule

WilmerHale on

In August 2024, a Texas federal court struck down a broad Federal Trade Commission (FTC) rule that would have banned the vast majority of employee non-competition agreements. ...more

Polsinelli

2024 Recap of Franchise Developments and 2025 Trends to Watch

Polsinelli on

There were a number of important and potentially impactful developments in 2024 that we predict will continuing developing and trending in 2025. Some of these topics are also discussed in other articles in this annual update....more

Blank Rome LLP

New Year, New FTC Chair, and Renewed Focus on Non-Compete Agreements

Blank Rome LLP on

It is nearly impossible to think about the Federal Trade Commission (“FTC”) without thinking about the chaos caused by the non-compete ban it approved last year over vociferous dissent only to have the ban vacated and set...more

Morgan Lewis

Commissioners Signal Changes to FTC Enforcement of Employee No-Hire Restrictions Under Trump-Vance Administration

Morgan Lewis on

The US Federal Trade Commission (FTC or Commission), in the final two months of the Biden administration, entered into two settlements in cases targeting the use of so-called “no-hire” restrictions in services agreements. In...more

Polsinelli

Stay Tuned… FTC Seeks to Breathe Life Back Into Non-Compete Ban

Polsinelli on

This past week, the FTC appealed a Texas federal court’s August ruling that blocked nationwide enforcement of the non-compete ban. The non-compete ban will remain blocked during the pendency of the appeal process. However,...more

Carlton Fields

Court Enjoins FTC Noncompete Ban: Appeal Likely

Carlton Fields on

A federal judge in Texas has enjoined the Federal Trade Commission’s ban on noncompete agreements, leaving the FTC’s attempt to quash such agreements waiving in the breeze, at least for the time being....more

MG+M The Law Firm

Defining Limits: FTC Overreach and the Future of Non-Compete Agreements

MG+M The Law Firm on

In a striking ruling on August 20, 2024, the US District Court for the Northern District of Texas invalidated the Federal Trade Commission’s (FTC) Non-Compete Rule, as set forth in 16 C.F.R. §§ 910.1-6....more

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

Pillsbury Winthrop Shaw Pittman LLP

District Court Ruling Bars Federal Trade Commission Non-Compete Rule for the Near Term

With further proceedings anticipated, and in light of the numerous state law restrictions on non-competes, employers should continue to act with caution when presenting employees with non-compete agreements. On August 20,...more

Bracewell LLP

Texas District Court Sets Aside FTC Non-Compete Ban: What Employers Should Consider

Bracewell LLP on

The Federal Trade Commission’s (FTC) Non-Compete Rule, which was scheduled to become effective on September 4, 2024, was set aside last month by US District Judge Ada Brown of the Northern District of Texas in Ryan LLC v....more

Rumberger | Kirk

Ramifications of Ryan: The Future of the FTC’s Final Rule Banning Non-Competes

Rumberger | Kirk on

The Federal Trade Commission’s Final Rule banning non-competes will not take effect on September 4, 2024. On August 20, 2024, U.S. District Judge Ada Brown for the Northern District of Texas ruled on the merits of the...more

Flaster Greenberg PC

Texas Court Puts a Stop to FTC's Non-Compete Ban

Flaster Greenberg PC on

On August 20, 2024, a Texas Federal Court issued a nationwide bar on the enforcement of the Federal Trade Commission (“FTC”) rule banning nearly all non-compete agreements (the “Final Rule”), which, as we have previously...more

King & Spalding

FTC Noncompete Rule Vacated by Texas Judge

King & Spalding on

If September 4, 2024, was circled on your calendar as the start of the federal government’s anti-restrictive covenant push into private employment contracts, hopefully it was in pencil. Last week, Judge Ada E. Brown of the...more

Foley & Lardner LLP

FTC’s Ban on Noncompete Agreements Is Blocked

Foley & Lardner LLP on

The Federal Trade Commission’s efforts to ban noncompete agreements suffered a serious blow when a federal judge in Texas issued a nationwide injunction blocking the ban’s enforcement. Implementation of the ban could disrupt...more

Perkins Coie

August Tip of the Month: Court Blocks FTC Rule Banning Employment-Related Noncompete Agreements

Perkins Coie on

On August 20, 2024, a Texas district court issued a decision blocking a Federal Trade Commission (FTC) Rule, which would have banned employment-related noncompete agreements....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

Jackson Walker

FTC Rule Banning Non-Competes Found Unenforceable

Jackson Walker on

The Decision - On Tuesday, August 20, 2024, employers throughout the country breathed a sigh of relief when a federal trial judge in Dallas struck down the FTC’s rule banning non-competes. It brought to a conclusion a...more

Mitchell, Williams, Selig, Gates & Woodyard,...

United States District Court Blocks FTC's Final Rule Banning Non-Compete Agreements

On April 23, 2024, the Federal Trade Commission (“FTC”) announced the “Final Non-Compete Clause Rule” banning most post-employment non-compete clauses between employers and employees. The final rule was set to take effect on...more

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