On July 3, 2024, U.S. District Judge Ada Brown of the Northern District of Texas entered a preliminary injunction staying the effective date of the Federal Trade Commission’s Non-compete Rule banning most non-compete agreements as “unfair methods of competition.” #ProudtobeRSHC
Riley Safer Holmes & Cancila LLP’s Post
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My latest on the cases challenging the FTC’s noncompete ban and what employers can be doing now to prepare! #employmentlaw #noncompete
"On July 23, the federal district court for Eastern District of Pennsylvania in ATS Tree Services, LLC v. Federal Trade Commission denied the plaintiff’s motion to enjoin and stay the Federal Trade Commission’s (“FTC”) rule banning non-compete agreements. Employers around the country now must wait for a ruling in a similar case pending in a federal district court in Texas to learn whether they will ultimately have to comply with the FTC’s rule." Read the Legal Alert from Brodie D. Erwin and Drew Williamson here: https://lnkd.in/e8KxJ4nn
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We now have split decisions from two courts in the FTC non-compete ban saga: a decision enjoining the FTC's non-compete rule but only as to the parties in the Ryan matter (N.D. Tex.) and another declining to issue a nationwide injunction in the ATS Tree Services matter (E.D. Pa.). The Ryan court is expected to issue a final decision on the plaintiffs' request for a nationwide stay of the non-compete ban by August 30. In our latest article, Brodie D. Erwin and I discuss steps all businesses with non-compete agreements should be taking to prepare for the potential effectiveness of the FTC's rule on September 4.
"On July 23, the federal district court for Eastern District of Pennsylvania in ATS Tree Services, LLC v. Federal Trade Commission denied the plaintiff’s motion to enjoin and stay the Federal Trade Commission’s (“FTC”) rule banning non-compete agreements. Employers around the country now must wait for a ruling in a similar case pending in a federal district court in Texas to learn whether they will ultimately have to comply with the FTC’s rule." Read the Legal Alert from Brodie D. Erwin and Drew Williamson here: https://lnkd.in/e8KxJ4nn
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Content Manager, Policy Solutions at Brightmine | People Data, Analytics, and Insight for Brighter Business Outcomes
A Texas federal court has postponed the effective date of the Federal Trade Commission (FTC) rule banning noncompete agreements. Read more about the latest status on the FTC ban #brightmine
FTC Noncompete Ban Could Be Blocked by Summer's End
hrcenter.us.brightmine.com
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The US Federal Trade Commission on Tuesday voted to bring in a broad ban on non-compete agreements. This may be good news for many employees but it has infuriated business owners and sharply divided opinions among the legal community. Two lawsuits have already been filed against the rule. Regardless of their outcomes, the ban’s looming imposition heralds a period of uncertainty for trade secret owners attempting to use non-compete clauses as a way to enforce their IP rights. 🎤 “We foresee much uncertainty and turbulence in the near future,” David Pardue of Parker Poe told IAM. 🎤His colleague Erik W. Weibust of Epstein Becker & Green says the rule is “arbitrary and capricious due the FTC's reliance on cherry-picked academic studies and surveys”. 🌴 In the meantime, in California, where non-competes have been banned historically, Carolyn Hoecker Luedtke of Munger, Tolles & Olson has a list of useful tips for employers in preparation for a future without non-competes – in case the rule survives the legal challenges. #FTC #noncompetes #ban #TradeSecrets #EmployeeContracts #US #ChamberofCommerce
US FTC votes through non-compete clause ban spelling uncertainty for trade secret strategy
iam-media.com
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In yet another blow to executive agency authority in this administration, a federal judge in Texas granted a preliminary injunction on implementation of the U.S. Federal Trade Commission’s near-total ban on noncompete agreements to consider whether the FTC ban is an overreach by the executive branch. This country was founded on principles such as the separation of powers and checks and balances in our government. When the government tries to legislate through executive fiat, the judicial branch has the opportunity to review these agency actions and determine whether Congress actually delegated this authority to the executive branch. It has taken time for this and other cases to work their way through the judicial process, but the courts are starting to agree that this administration has been improperly encroaching on the rights of businesses. There are those that may ultimately disagree with federal court decisions as of late, but this is our Constitution at work. The case is Ryan LLC et al. v. Federal Trade Commission, case number 3:24-cv-00986, in the U.S. District Court for the Northern District of Texas. May you all have a happy and safe July 4th! #constituional law #executive fiat #federalcourts #indpendenceday
BREAKING: Texas Court Puts FTC's Noncompete Ban On Hold - Law360
law360.com
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[Client Insight]: A federal judge has halted the Federal Trade Commission's ban on post-termination noncompetition agreements, but only as it pertains to the named parties in the case. In Ryan LLC v. FTC, the court preliminarily found that the FTC exceeded its statutory authority in promulgating the noncompete ban, because Section 6(g) of the FTC Act does not grant the FTC substantive rulemaking power for unfair methods of competition. Read the full insight here. #employment #noncompete #FTC #GundersonInsight https://lnkd.in/gnCBUnGA
Gunderson Dettmer
gunder.com
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On July 3, the U.S. District Court for the Northern District of Texas issued a limited stay and preliminary injunction of the Federal Trade Commission's final rule making unlawful virtually all non-compete agreements. Read Kirsten Eriksson's new blog post to learn more about the details (and limits) of the ruling as well as its context in the broader #employmentlaw landscape. https://lnkd.in/e6hK9BZ2 #noncompetes #laborlaw #FTC
MSLaw Blog - First Court to Address FTC Non-Compete Rule Finds it Unlawful – But Limits Injunction to Parties
mslaw.com
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A Texas federal district court issued its decision on July 3, temporarily staying the FTC’s Non-Compete Rule in Ryan LLC v. Federal Trade Commission as applied to the Plaintiff and the Plaintiff-Intervenor organizations only (not the members of those organizations). Click the link below to learn more about this decision's key elements and other important takeaways. #FTC #NonCompeteAgreements #Antitrust
FTC’s Non-Compete Ban Temporarily Stayed on Limited Basis
bipc.com
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A Texas federal district court issued its promised decision on July 3, temporarily staying the FTC’s Non-Compete Rule in Ryan LLC v. Federal Trade Commission as applied to the Plaintiff and the Plaintiff-Intervenor organizations (but not the members of those organizations) only. Learn more about this decision's key elements and other important takeaways. #FTC #NonCompeteAgreements #Antitrust #EmploymentLaw
FTC’s Non-Compete Ban Temporarily Stayed on Limited Basis
bipc.com
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A Texas federal district court issued its promised decision on July 3, temporarily staying the FTC’s Non-Compete Rule in Ryan LLC v. Federal Trade Commission as applied to the Plaintiff and the Plaintiff-Intervenor organizations (but not the members of those organizations) only. Learn more about this decision's key elements and other important takeaways. #FTC #NonCompeteAgreements #Antitrust #EmploymentLaw
FTC’s Non-Compete Ban Temporarily Stayed on Limited Basis
bipc.com
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