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As we continue to report, noncompete agreements have been subject to unprecedented scrutiny over the past few years. Last April, the Federal Trade Commission (FTC) finalized a rule (“Final Rule”) ostensibly banning...more
Many employers experienced whiplash in 2023 from the flurry of judicial, administrative and legislative activity aimed at restricting the use of employee non-competition, non-solicitation, and non-disclosure agreements. Can...more
Corporates and deal teams should pay careful attention to drafting non-competes and other restrictive arrangements as UK, EU, and US regulators step up enforcement. Regulators on both sides of the Atlantic are placing...more
The New York legislature has passed a bill banning future employee non-competes, regardless of pay thresholds or job functions, and even in the sale-of-business context. The bill allows limited customer non-solicitation...more
Join attorneys from Ulmer’s Employment and Labor and Intellectiual Property Pracrices as they host a complimentary webinar on the impact of the Federal Trade Commission's (FTC) January 2023 Notice of Proposed Rulemaking...more
This article originally ran in Law360 on February 10, 2023. All rights reserved. As federal and state governments consider limiting or prohibiting employee noncompetition agreements or other restrictive covenants, the...more
On January 5, 2023, the Federal Trade Commission (FTC) announced a proposed rule that, if enacted, would amount to a near-total ban on the use of non-compete agreements nationwide. If enacted as written, the FTC’s proposed...more
In recent years, there has been a shift across the U.S. to restrict the use of non-compete agreements. In fact, on January 5, 2023, the Federal Trade Commission (“FTC”) proposed a new rule that would effectively ban the use...more
Employee restrictive covenants, in particular non-competition agreements, are under scrutiny at the state and federal level. State legislatures are working to narrow the circumstances under which restrictive covenants may be...more
The Federal Trade Commission’s (“FTC”) proposed rule banning the use of non-competes with employees and workers could regulate almost all employers in the nation. If this proposal becomes final it could also prohibit...more
On January 5, 2023, the Federal Trade Commission (FTC) proposed a rule to ban non-compete clauses in employment agreements, which it asserts hurts workers and harms competition. The proposed rule would prevent employers from...more
Future of Non-Competes Up in the Air - The FTC recently announced its proposal to ban non-compete clauses in employment agreements. That proposal is currently in a 60-day period of public comment, and employers are...more
The proposed rule would only permit non-competes as part of the sale of a business –and then only when the restricted individual owns at least 25% of the entity being sold. The proposed rule permits non-solicitation...more
On January 11, 2023, Elizabeth Wilkins, the Federal Trade Commission’s Director of the Office of Planning and lead staffer for the FTC’s newly proposed ban on non-competes, provided comments and answered questions about the...more
On January 5, the Federal Trade Commission (FTC or Commission), an agency charged with enforcing federal antitrust laws and protecting competition, proposed a new rule that would prohibit “employers” from imposing...more
On Jan. 5, the United States Federal Trade Commission (the “FTC”) proposed a new rule which acts as a complete ban—both prospectively and retroactively—on all non-competition agreements (“non-compete(s)”) (the “Proposed...more
On Jan. 5, 2023, the FTC proposed a new rule that would prohibit employers from imposing non-compete agreements on their workers. The new rule would apply to new and existing non-compete agreements....more
On January 5, 2023, the Federal Trade Commission (FTC) published a proposed rule seeking to ban non-compete agreements with very limited exceptions. The FTC’s proposed rule is based upon the agency’s preliminary finding that...more
The Federal Trade Commission (FTC) kicked off 2023 by using Section 5 of the FTC Act to take legal action against three companies and two individuals, forcing them to drop noncompete provisions. This is the first time that...more
On January 5, 2023, the Federal Trade Commission (“FTC”) voted 3-1 to propose a rule that, if adopted, will dramatically impact companies that use noncompete agreements to protect their business interests. Under the proposed...more
On January 5, 2023, the Federal Trade Commission (FTC) announced a proposed new rule that would effectively prohibit employers from requiring employees to agree to noncompete clauses. The public is invited to submit comments...more
The FTC Breaks its Silence Following Biden’s Executive Order - On January 5, 2023, the Federal Trade Commission (FTC) proposed a sweeping new rule which, if enacted in its draft form, would ban virtually all...more
In the summer of 2021, President Biden signed an executive order that, among other things, asked the Federal Trade Commission (FTC) to consider curtailing the use of employment noncompetes. This week, the FTC answered the...more
Today, the Federal Trade Commission issued a game-changing proposed rule that could change the employment terms of approximately 30 million American workers. The proposed rule would: (1) ban all non-compete agreements for...more