Federal Judge Blocks Nationwide Noncompete Ban
Lake Effect previously blogged about the FTC’s ban on noncompetition agreements. In a game-changing decision for employers, a federal judge in Texas has blocked the FTC’s nationwide ban on noncompetes, which was scheduled to take effect on September 4, 2024. The judge ruled that the FTC lacked substantive rulemaking authority to address unfair methods of […]
FTC Ban on Noncompetition Agreements Takes Effect
As we previously reported, the Federal Trade Commission (“FTC”) issued its final rule on April 23, 2024, banning noncompetition agreements and related provisions. The rule will take effect on September 4, 2024, 120 days after publication in the Federal Register. As of September 4th, employers who have employees under existing noncompete agreements and related provisions, […]
FTC Bans Noncompete Agreements
On April 23, the Federal Trade Commission (“FTC”) issued its final rule banning noncompete clauses in employment agreements. Barring a successful legal challenge (including lawsuits already filed in Texas courts), the rule will take effect 120 days after publication in the Federal Register. At that time, employers who have employees under existing noncompete agreements will […]
