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Dawn Mertineit

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Tingey Injury Law Firm, Unsplash

On December 4, 2024, the Federal Trade Commission (“FTC”) ordered building services contractor Guardian Industries, Inc. (“Guardian”) to cease enforcement of no-hire provisions it included in customer service agreements with residential building owners and building management companies, prohibiting the hire of Guardian’s employees.

Guardian, which operates in New York and New Jersey, was on the receiving end of a complaint…

Continue Reading FTC Cracks Down on Use of No-Hire Agreements As Anti-Competitive
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Rock Staar, Unsplash

As we previously reported, the Federal Trade Commission (“FTC”) announced that it is amending and reorganizing the document requirements for pre-merger notifications under the Hart Scott Rodino Act (“HSR Act”), 15 U.S.C. 18a, which also includes a requirement for buyers to indicate the existence of non-compete and non-solicit agreements among the businesses involved.  The HSR Act and the associated…

Continue Reading FTC Amends Pre-Merger Notification Rules Affecting Use of Restrictive Covenants
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Just over a month ago, employers throughout the United States breathed a sigh of relief after Judge Ada Brown in the Northern District of Texas issued a summary judgment ruling in the Ryan v. FTC litigation setting aside the FTC’s rule banning the vast majority of non-competes (the “Rule”). In that decision, Judge Brown reasoned—just as she had in her…

Continue Reading The Saga’s Not Over – FTC Appeals Florida Court’s Stay of Non-Compete Rule
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Once again surprising the country by acting ten days before her own self-appointed deadline, a federal judge in the United States District Court for the Northern District of Texas issued a ruling on August 20 in the Ryan v. FTC case setting aside the FTC Rule banning non-competes, and held (quoting Fifth Circuit precedent) that the ruling had “nationwide effect”…

Continue Reading Federal Texas Court Sets Aside with “Nationwide Effect” the FTC Rule Banning Non-Competes
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This just in: Judge Ada Brown ruled today on the parties’ dueling summary judgment motions – 10 days before her self-imposed deadline to do so – in Ryan LLC v. FTC. Judge Brown granted the plaintiffs’ motion for summary judgment while denying the FTC’s motion, determining that the FTC’s rule banning non-competes is an unlawful agency action and must…

Continue Reading BREAKING: Federal Judge Rules FTC’s Non-Compete Ban to be Set Aside Nationwide

Yesterday, a third court weighed in on the FTC’s proposed ban on non-competes, set to go into effect on September 4, 2024. Judge Corrigan of the United States District Court for the Middle District of Florida granted the plaintiff Properties of the Villages, Inc.’s (“POV”) motion to stay the effective date of the rule and preliminarily enjoin its enforcement.

Continue Reading More Bad News for the FTC: Federal Court in Florida Enjoins Enforcement of Non-Compete Ban

The ongoing battle between DraftKings Inc. and its former executive, Michael Hermalyn, remains contentious, with the District of Massachusetts’ decision to enforce Hermalyn’s non-compete now appealed and argued to the First Circuit.

Background

DraftKings, a Boston-based online sports and gaming platform, employed Hermalyn as a Senior Vice President. He resigned in February 2024, consummating negotiations with DraftKings’ direct competitor, Fanatics…

Continue Reading DraftKings Dispute with Former Executive Presents Battle Over Choice of Law for Non-Compete Agreements
FTC

In a rapid-fire response, the Ryan Court in the Northern District of Texas this morning denied Plaintiff and Plaintiff-Intervenors’ Expedited Motion for Limited Reconsideration of the Scope of Preliminary Relief, and Plaintiff and Plaintiff-Intervenors’ Motion for Expedited Consideration of their Motion for Limited Reconsideration of the Scope of Preliminary Relief (for more on these motions, see here). In a…

Continue Reading UPDATE: Texas Judge Swiftly Denies Plaintiffs’ Request to Expand Scope of Injunction in FTC Non-Compete Ban Case

Having achieved a milestone in obtaining a limited preliminary injunction halting the application of the FTC ban on non-competes effective September 4, 2024 as to the named plaintiffs and plaintiff-intervenors in its Texas lawsuit, the U.S. Chamber of Commerce et al. and Ryan, LLC moved today, July 10, to expand the injunction to apply more broadly.  Specifically, plaintiffs moved Chief…

Continue Reading U.S. Chamber and Ryan Seek to Expand Injunction Halting FTC Non-Compete Ban

About the Program

In today’s fast-paced business environment, intellectual property (IP) reigns supreme. Among the various forms of IP, trade secrets hold a distinct advantage, offering a competitive edge that’s both elusive and invaluable. Yet, in an era marked by technological advancements and increased connectivity, safeguarding these trade secrets poses a significant challenge.

As innovators and custodians of proprietary information…

Continue Reading Upcoming Webinar! Unveiling Trade Secrets Breaches: Leveraging Forensic Examinations for Robust IP Protection