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Non-Compete Agreements › Employees › Employment Litigation

Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a... more +
Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a certain industry or locale. The purpose of these agreements is to protect employers or business purchasers from competition stemming from former employees or former owners of a business. less -
Parker Poe Adams & Bernstein LLP

Fourth Circuit Says Use of Noncompetes Indicates Employment Instead of Contractor Relationship

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In recent years, state courts have questioned whether independent contractors can be placed under enforceable post-engagement noncompetition agreements. ...more

Hahn Loeser & Parks LLP

Florida Legislature Increases Employer Protections Through Non-Compete Agreements

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On April 24, 2025, the Florida legislature passed the Florida Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth, or CHOICE, Act. The CHOICE Act goes into effect on July 1, 2025. The CHOICE...more

Sheppard Mullin Richter & Hampton LLP

New York Legislature Proposes New Bill Banning Non-Compete Agreements

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The New York Legislature is set to make another attempt to ban non-competes for all but highly compensated individuals. At the end of the 2023 legislative session, the New York Legislature passed a bill that would have banned...more

Hendershot Cowart P.C.

Timeline: What Happens After Breaking a Non-Compete Agreement in Texas

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Responding to a Non-Compete Violation - When an employer discovers a potential non-compete violation, they generally react within 1-4 weeks, though this can be shorter if the violation poses an immediate competitive threat....more

Seyfarth Shaw LLP

Acting NLRB General Counsel Rescinds Biden-Era Policy Guidance on Non-Compete Agreements

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On February 14, 2025, NLRB Acting General Counsel William B. Cowan rescinded a number of active General Counsel Memoranda citing an increasing “backlog of cases [grown] to the point where it is no longer sustainable.” Among...more

Morgan Lewis

Washington Supreme Court Clarifies Limits on Employers’ Anti-Moonlighting Agreements

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The Supreme Court for the State of Washington issued a decision in David v. Freedom Vans LLC expanding the state’s prohibition against anti-moonlighting covenants for low-wage workers. The court held that employers may not...more

Genova Burns LLC

Acting NLRB General Counsel Scraps Predecessor's Memos, Signals a New Direction

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On Valentine’s Day, the Acting NLRB General Counsel, William B. Cowen, delivered a greeting card of sorts to his staff and the public signaling a new direction for the agency....more

Ballard Spahr LLP

Delaware Supreme Court Broadens Utility of Noncompete Enforcement Tool

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In a recent en banc decision, Delaware’s Supreme Court upheld a key tool available to employers to enforce forfeiture-for-competition provisions against former employees. Delaware’s Chancery Court has shown an increasing...more

Littler

Rescission of NLRB General Counsel Memos on Non-Compete Agreements Indicates Shift in Enforcement Priorities

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On February 14, 2025, National Labor Relations Board Acting General Counsel William Cowan rescinded several previously issued memos, including two related to restrictive covenants: (1) GC Memorandum 23-08, Non-Compete...more

Dinsmore & Shohl LLP

Significant Non-Compete Restrictions May Be Coming to the Buckeye State

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Ohio may be the next state to place restrictions on non-competition provisions in employment agreements for employers, including healthcare providers. Ohio Senators Bill Blessing (R-Colerain Township) and Bill DeMora...more

Kohrman Jackson & Krantz LLP

Ohio Employers May See Non-Competes and Stay-or-Pay Provisions Prohibited with Senate Bill 11

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Senator Louis Blessing, III, Republican, and William DeMora, Democrat have introduced Senate Bill 11 which seeks to ban employers from requiring their employees to adhere to non-competes and certain stay or pay provisions. ...more

Epstein Becker & Green

The Buckeye State to End Employer Noncompetes?: Ohio Introduces Bill That Would Ban Employers from Entering into Noncompetes

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Consistent with our previous reporting that states would continue to address noncompete issues even after the apparent end of the FTC Noncompete Rule, Ohio has joined the growing list of jurisdictions seeking to restrict the...more

Proskauer - Trade Secrets

Seventh Circuit Decision Highlights Distinction Between Traditional Non-Compete and Forfeiture-for-Competition

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A recent decision by the U.S. Court of Appeals for the Seventh Circuit allowed an employer to enforce a “forfeiture-for-competition” against a former plant manager. The Court explained that, under Delaware law, forfeiture-for...more

FordHarrison

EntertainHR: NLRB Love Is Blind Complaint May Radically Alter Reality Television

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As reality television enthusiasts prepare for the Season 8 premiere of Netflix’s Love is Blind this Valentine’s Day, the show’s producers are navigating a recent National Labor Relations Board complaint that could lead to...more

Morrison & Foerster LLP

Washington Supreme Court Indicates Agreements Prohibiting Employees from Working for Competitors During Employment May Violate...

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On January 23, 2025, the Washington Supreme Court held that two Washington workers can argue that their former employer imposed unreasonable restrictions in violation of a state statute regulating non-compete agreements that...more

Foley & Lardner LLP

Complying With Recent Guidance From Delaware Courts Regarding Enforcement of Noncompetes

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In line with the national trend making noncompetes more difficult to enforce, a number of Delaware courts have recently refused to “blue pencil” overbroad noncompetition agreements and have stricken them in their entirety. As...more

Fox Rothschild LLP

Doing Business in California Guide Updated for 2025

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The allure of doing business in California is undeniable. It is the world’s fifth (and moving towards fourth) largest economy and a market of over 39 million people. For employers, however, California presents unique...more

Brooks Pierce

Counting Down to the New Year: Ten “Need-to-Know” Labor and Employment Developments of 2024

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2024 was yet another active year in the labor and employment landscape. While 2025 and the new administration could bring any number of changes to workplace laws and enforcement, the timing and extent of such changes is...more

Sheppard Mullin Richter & Hampton LLP

Indiana Appellate Court Rules Medical Company’s Non-Compete with Chief Operating Officer Overbroad and Unenforceable 

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An Indiana appellate court recently declined to enforce an executive’s non-compete on the grounds that the covenant’s activity restriction was overbroad. In Med-1 Solutions, LLC v. Taylor (Opinion 24A-PL-450, November 25,...more

JAMS

Global Perspectives on Employment Disputes: Key Lessons From Cross-Border Cases

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Navigating employment disputes across borders presents unique challenges for employers and employees alike. Legal frameworks, cultural sensitivities and ethical considerations can vary greatly from one jurisdiction to...more

Bradley Arant Boult Cummings LLP

Where Are We on Noncompetes? Update on the Federal Role

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We have news on two fronts: First, the FTC Rule - As related to the Federal Trade Commission’s nationwide ban on noncompete agreements, the FTC has appealed the federal court injunction in Texas to the federal Fifth...more

Dentons

No Poaching Agreements Targeted by the NLRB

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In 2023, Chief Counsel for the National Labor Relations Board (NLRB), Jennifer Abruzzo, issued two memorandums addressing non-disparagement agreements, non-competes, and a variety of other contractual terms such as...more

Jones Day

Employer Prevails in First Test of California's Newest Noncompete Law

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In the first known case to challenge California's legislative attempt to void noncompete agreements even for employees who do not live or work in California, the First Circuit Court of Appeals upheld the application of...more

Spilman Thomas & Battle, PLLC

SuperVision - Labor and Employment Law Insights, Issue 3, September 2024

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Welcome to the fall issue of SuperVision, our labor and employment e-newsletter. In this edition, we cover the current status of the FTC’s attempts to ban noncompetes, OSHA’s proposed heat standard, how to handle political...more

Jenner & Block

Non-Competition Agreements; FTC Rule Status

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As we previously reported, on April 23, 2024, the Federal Trade Commission (FTC) announced their final rule banning most “non-competition” agreements. The FTC determined non-competition agreements were an unfair method of...more

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