Skadden, Arps, Slate, Meagher & Flom LLP and Affiliates’ Post

What can companies do to prepare for the FTC’s broad ban on noncompetes while challenges to the new rule play out in court? Rulings are expected in July 2024 in two of those cases, well before the rule takes effect in September. Joseph Rancour | Tara Reinhart | David Schwartz | Annie Villanueva Jeffers #antitrust #competition #executivecompensation #laborlaw

A Texas federal court has blocked the FTC's proposed rule to ban non-compete agreements nationwide, pausing the effort to limit these contracts, which many say restrict competition and worker mobility. The ruling highlights the tension between federal regulation and states' rights in business practices. As the FTC may appeal, businesses need to stay informed on the evolving legal landscape surrounding non-competes. #FTC #noncompete #competition Read more: https://lnkd.in/gnebQqni

A Florida federal court is now the second court to rule that the FTC's proposed noncompete ban cannot be enforced. A full written opinion has not yet issued, but the minute order suggests the relief only applies to the employer that brought that particular suit. Learn more about Properties of the Villages, Inc. v. Federal Trade Commission and what employers should do to prepare to comply with the FTC's ban in the event it does go through in this Insight drafted by my FP colleagues, Jonathan Crook and Michael Elkon. https://lnkd.in/ey7aJqFa #noncompete #employment #compliance #FTC

🚨 Important Legal Update on Noncompete Agreements 🚨 A federal judge in Texas has struck down the Federal Trade Commission's (FTC) ban on noncompete agreements, ruling that the agency overstepped its authority. The decision, issued by U.S. District Judge Ada Brown, halts the FTC's rule that was set to take effect on September 4th, impacting an estimated 30 million U.S. workers. While this ruling maintains the status quo on noncompetes, it’s a reminder that the legal landscape around employment agreements is ever-evolving. Staffing companies and employers should stay informed and be prepared for potential appeals or changes down the road. Read the full article below: https://lnkd.in/gPhaHTbW #LegalUpdate #StaffingIndustry #EmploymentLaw #NoncompeteAgreements #BusinessNews

Have a Noncompete to enforce? You may need to hurry! The FTC Noncompete Rule is out. Our blog summarizes important information on the new law.

As we wait to see whether a federal court in Texas will block the FTC's rule banning #noncompetes before it takes effect September 4th, click below to read what employers can be doing in the meantime.

📢 BREAKING NEWS: FTC Non-Compete Ban Blocked Nationwide Yesterday, August 20th, 2024, Judge Ada Brown of the Northern District of Texas issued a broad order invalidating the Federal Trade Commission’s (“FTC”) final rule, which would have banned non-compete agreements for most employees nationwide. Expanding upon her prior July 3rd ruling, which only blocked the Final Rule from affecting the parties in the Texas case, her August 20th ruling blocks the Final Rule’s application to employers across the country. Frier Levitt attorneys Daniel Frier, Brandon Zarsky, Christopher Mayer and Antony Kamel shed light on this decision and its implications in a new article. Read here: https://lnkd.in/dMsDd6qr Frier Levitt is continuing to monitor the status of the Final Rule and will provide updates as soon as they become available. #FrierLevitt #FTC #NonCompeteBan #FinalRule

On August 20, a U.S. District judge ruled that the FTC's ban on most non-competes exceeded the FTC’s statutory authority. This decision sets aside the non-compete ban nationally, meaning the ban cannot be enforced or take effect on September 4, 2024. Employers may continue to utilize non-competes if permitted by state law, in the manner prescribed by state statutes and case law. There is a reasonable likelihood of an appeal, in which case, there may be additional developments to follow. Babst Calland will continue to monitor this situation and will advise as to whether employers must take any action in the future.  If you have questions about the status of the now-barred FTC non-compete ban, use of non-competes under existing state law, or strategies to deal with the ever-changing landscape of non-competes, please contact Babst Calland Attorneys Alexandra Farone, Steve Antonelli or Steve Silverman. https://lnkd.in/dj-Urv7z #babstcalland #employmentlaw #noncompetes

A federal court in Texas ruled the FTC's attempted ban on non-compete agreements exceeded its statutory authority, putting a stop to the ban nationwide shortly before the #FTC rule was to take effect. For the latest on this breaking development and insight into how it impacts employers, you can read our analysis here: https://lnkd.in/gmuUVhqu. Authors: Jennifer Bame, Fred Gaona #FederalTradeCommission #ExecutiveCompensation #EmploymentLaw #NonCompetes #EmploymentContracts #Texas #FederalAgencies #SCOTUS

We have an important update on the FTC's Non-Compete Rule: The Northern District of Texas issued a nationwide injunction, deeming the FTC’s Non-Compete Rule unlawful and halting its enforcement. The Rule will not take effect as planned on September 4, 2024. My colleagues in our Trade secret, Non-compete and Unfair Competition Practice have employer takeaways and next steps in the link below. #NonCompete #FTC