News & Analysis as of

Non-Compete Agreements Employment Contract Unfair Competition

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 -
Cole Schotz

Florida’s CHOICE Act: Offering Unprecedented, New Tools to Employers to Prevent Unfair Competition

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As of its July 3, 2025 effective date, the Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth (“CHOICE”) Act dramatically overhauled Florida’s restrictive covenant framework. While many states...more

Amundsen Davis LLC

Employee Non-Competes: Where We Stand Today

Amundsen Davis LLC on

A little less than a year ago, businesses were scrambling to get ready for the then-impending Federal Trade Commission’s (FTC) final rule that would have blocked nearly all non-compete agreements between employers and...more

Venable LLP

More Red Tape on Colorado Noncompete and Nonsolicit Agreements

Venable LLP on

Colorado has taken another step toward narrowing the circumstances in which restrictive covenants—such as covenants not to compete and customer nonsolicits—may be used. Senate Bill 25-083, which takes effect August 6, 2025,...more

Littler

The (Less-Than-Golden) State of Confidentiality Provisions in California

Littler on

It is well known that California takes a dim view towards restrictive covenants in the workplace. Business & Professions Code Section 16600 prohibits employee non-compete agreements, stating that “every contract by which...more

Fisher Phillips

Will Florida’s New Non-Compete Bill Attract Tech Companies to the Sunshine State? A Thought Experiment

Fisher Phillips on

Florida just enacted a game-changer of a law that makes it the friendliest state in the country for enforcing non-competes – and could also revolutionize how tech companies view the Sunshine State as a place to set up...more

Saul Ewing LLP

Sausage Race Heats Up: Hormel Foods Sues Sausage Competitor Johnsonville Claiming Trade Secrets Misappropriation

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Just in time for grilling season in the Midwest, Hormel Foods Corporation (“Hormel”) filed a federal lawsuit in the District of Minnesota against its competitor, Johnsonville, LLC (“Johnsonville”), and two former Hormel...more

Constangy, Brooks, Smith & Prophete, LLP

Employee pirates can plunder a business. Arrrgh ye ready?

Piracy is defined as robbery by ship- or boat-borne attackers upon another ship or a coastal area, with a goal of stealing cargo or other valuables. During the Golden Age of Piracy, from the 1680s to the 1720s, infamous...more

Bennett Jones LLP

BC Court of Appeal Confirms “No hire” Clause Not Intended to Injure Employees

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In Latifi v The TDL Group Corp., 2025 BCCA 45, (Latifi) the BC Court of Appeal upheld the summary dismissal of a proposed class action against the Tim Hortons franchisor in Canada. The underlying dispute between the...more

Hendershot Cowart P.C.

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

Hendershot Cowart P.C. on

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

FTC Launches Joint Task Force to Investigate and Prosecute Non-Compete Agreements, as FTC Chairman declares the GOP a “Workers’...

Seyfarth Shaw LLP on

As Republicans regain control of the Federal Trade Commission (“FTC”) under the Trump-Vance Administration, employers that looked to maintain and enforce their non-compete agreements with employees may have found solace in...more

Stevens & Lee

New Labor Task Force to Investigate and Prosecute Unfair and Anticompetitive Labor Market Conduct

Stevens & Lee on

On Feb. 26, Federal Trade Commission (FTC) Chairman Andrew Ferguson issued a “Directive Regarding Labor Markets Task Force” pursuant to which a Joint Labor Task Force is being organized consisting of the Directors of the...more

Parker Poe Adams & Bernstein LLP

FTC's Scrutiny of Unfair Labor Competition Includes Non-Competes

While the Trump administration appears to have little interest in defending the Federal Trade Commission’s regulatory ban on non-competition agreements in employment, the agency recently signaled its intent to scrutinize at...more

Vinson & Elkins LLP

FTC Labor Market Task Force: A Surprising Continuation of Biden-Era Priorities

Vinson & Elkins LLP on

On February 26, 2025, the Federal Trade Commission (“FTC”) announced the formation of a Joint Labor Task Force aimed at addressing deceptive, unfair, and anticompetitive practices impacting labor markets. The FTC signaled an...more

Fisher Phillips

FTC’s New Task Force to Target Noncompetes: 5 Top Answers for Employers

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In a somewhat surprising development, the Federal Trade Commission just announced that it intends to continue scrutinizing noncompete agreements and other arrangements the FTC feels are unfair to workers. Last week, Federal...more

WilmerHale

FTC Launches Joint Labor Task Force: Trump 2.0 Continues Antitrust Focus on Labor Markets

WilmerHale on

On February 26, 2025, Federal Trade Commission (“FTC”) Chair Andrew Ferguson announced that the FTC would create the agency’s “first ever” Joint Labor Task Force (the “Task Force”), focusing on anticompetitive labor market...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

FTC Launches Task Force to Protect Competition in Labor Markets, Scrutinize Noncompete Agreements

On February 26, 2025, Federal Trade Commission (FTC) Chairman Andrew N. Ferguson directed the agency to form a new “Joint Labor Task Force” that will focus on enforcing federal antitrust laws to protect competition in labor...more

Troutman Pepper Locke

FTC Refocuses Its Resources to Continue Its Work for Labor Market

Troutman Pepper Locke on

In what may be a surprise to those who thought that restrictions on the use of noncompetes would go away with the change in administration, this week, the Federal Trade Commission (FTC) announced that the agency will form a...more

Vedder Price

Pair of FTC Actions Underscore Continued Focus on Labor Issues

Vedder Price on

The FTC took two actions on February 26, 2025 to emphasize its continued focus on labor markets and to rededicate its efforts to a policy priority in common with those of the previous Administration. First, the FTC approved...more

Kohrman Jackson & Krantz LLP

DOJ and FTC Target Non-Compete Challenge as Antitrust Violation

During the run-up to President Trump’s inauguration, the U.S. Department of Justice and the Federal Trade Commission issued their collective “Guidelines” to explain how they will assess whether business practices violate the...more

Lasher Holzapfel Sperry & Ebberson PLLC

ALERT: New Washington Supreme Court Ruling on Noncompete Agreements

Recently, the Washington Supreme Court held that noncompete agreements for employees earning less than twice the minimum wage must be reasonable and narrowly construed. The court found that prohibiting employees from...more

Morris James LLP

Key Takeaways from Recent Delaware Restrictive Covenant Case Law

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Partners Vincent Cannizzaro and Barnaby Grzaslewicz recently presented Recent Developments in Delaware Restrictive Covenant Case Law: The Alternative Entity Creep, providing key insights into how Delaware’s courts are...more

Morrison & Foerster LLP

A Parting Gift to Labor Markets: Outgoing Antitrust Enforcers Issue Revised Guidelines on Practices Affecting Workers, But Will...

In the final days of the Biden administration, the FTC and DOJ jointly issued antitrust guidelines on business practices that impact workers that replace the 2016 Antitrust Guidance for Human Resource Professionals, which...more

Sheppard Mullin Richter & Hampton LLP

Evidence of a Defendant’s Physical or Digital Retention of Trade Secret Information Is Not Required to Prove Trade Secret...

A recent federal district court ruling serves as an important reminder that a former employee may be held liable for trade secret misappropriation even if the alleged trade secrets are not physically or electronically taken...more

BakerHostetler

Department of Justice and Federal Trade Commission Release Guidelines on Business Practices That Impact Workers

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On January 16, 2025, in the waning hours of the Biden-Harris administration, the Department of Justice (DOJ) and Federal Trade Commission (FTC) jointly released their “Antitrust Guidelines for Business Activities Affecting...more

Morgan Lewis

DOJ and FTC Issue Antitrust Employment Law Guidelines on Eve of New Administration

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In the final days of the Biden administration and on the eve of significant agency turnover, the US Department of Justice Antitrust Division (DOJ) and Federal Trade Commission (FTC) issued a new set of guidelines addressing...more

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