With the FTC Ban on non-competes essentially dead in the Courts of Appeal, various states and agencies have taken up the mantle to further limit or expand the use of restrictive covenants for certain populations in 2025.
Below is a list of major legislative changes, judicial decisions, and agency actions at the state and federal level affecting non-compete agreements in
Continue Reading Restrictive Covenant Law For The First Four Months of 2025
On March 7, 2025, lawyers for the Federal Trade Commission (FTC) filed motions requesting a 120-day stay of the agency’s appeal of district court decisions in the Fifth Circuit and Eleventh Circuit, which had blocked the FTC’s proposed ban on non-competes (the “Rule”) in the Ryan v. FTC and Properties of the Villages (“POV”) v. FTC cases, respectively. The nearly-identical
Continue Reading FTC Requests Stay of Appeals to Challenges to FTC Non-Compete Rule Citing New Administration
As Republicans regain control of the Federal Trade Commission (“FTC”) under the Trump-Vance Administration, employers that looked to maintain and enforce their non-compete agreements with employees may have found solace in the statements of certain FTC Commissioners who vocally opposed the FTC’s nationwide ban on non-compete agreements. However, recent statements by the FTC’s newly-appointed Chair, Andrew Ferguson, along with the
Continue Reading FTC Launches Joint Task Force to Investigate and Prosecute Non-Compete Agreements, as FTC Chairman declares the GOP a “Workers’ Party”
On February 14, 2025, NLRB Acting General Counsel William B. Cowan rescinded a number of active General Counsel Memoranda citing an increasing “backlog of cases [grown] to the point where it is no longer sustainable.” Among those rescinded were a pair of memos issued by recently ousted NLRB General Counsel Jennifer Abruzzo that declare non-compete agreements between employers and workers
Continue Reading Acting NLRB General Counsel Rescinds Biden-Era Policy Guidance on Non-Compete Agreements
In 2024, Seyfarth’s Trade Secrets, Computer Fraud & Non-Compete practice group presented a series of dynamic and insightful CLE webinars, addressing pivotal challenges confronting businesses head-on. The breadth of our discussions encompassed a spectrum of critical topics:
To conclude our impactful 2024 webinar series, we’ve carefully compiled key takeaways from each session. If you missed any sessions, recordings are available on our blog or through the provided links. We’re excited to share that Continuing Legal Education (CLE) credit is attainable by watching the webinar recordings. For CLE credit inquiries, please email cle@seyfarth.com after viewing the webinar.Continue Reading 2024 Trade Secrets Webinar Series Recap: Key Takeaways and Access to Recordings
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
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
In our recent webinar, “Trade Secrets Audits: Strengthening Your Company’s IP Protection,” Seyfarth’s Intellectual Property Partner, Lauren Leipold, along with Trade Secret Attorneys Eddy Salcedo and James Yu, shared essential strategies for enhancing IP protection in today’s complex landscape. As corporate espionage and data breaches become increasingly prevalent, the session provided valuable insights on effective methods for safeguarding your company’s
Continue Reading Webinar Recap! Trade Secrets Audits: Strengthening Your Company’s IP Protection
On October 4, 2024, Plaintiff ATS Tree Services, LLC (“ATS”) voluntarily dismissed its claims against the FTC challenging the agency’s Non-Compete Rule. See ATS Tree Services, LLC v. Fed. Trade Comm’n, et al., No. 2:24-CV-01743-KBH (E.D. Pa. July 23, 2024). The dismissal ends the case before a decision on the merits, preventing the FTC from obtaining a favorable ruling
Continue Reading Pennsylvania Plaintiff Drops Challenge to FTC Non-Compete Rule
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