non-compete

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The National Labor Relations Board moved from theory to practice in this administration’s battle against restrictive covenants. Recently, the Regional Director of Region 9 of the National Labor Relations Board filed a consolidated complaint alleging that certain restrictive covenants contained in offer letters and policies in an employee handbook violated the National Labor Relations Act. This complaint is a logical…

Continue Reading We’ve Got a Test Case: The NLRB Files its First Complaint Challenging the Validity of Restrictive Covenants
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Following the recent passage through the New York State Senate, on June 20, 2023, the New York State Assembly voted to approve a bill, which, if enacted, would ban all post-employment non-compete agreements. We previously reported on the key features of Senate Bill S3100A here. Assembly Bill A1278 is now headed to Governor Hochul’s desk for review, and she…

Continue Reading New York Update: Bill Banning Non-Competes Passes State Assembly and Awaits Signature by Governor Hochul
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The FTC is not alone in taking aim at non-competes. Yesterday, the NLRB’s General Counsel Jennifer Abruzzo issued a memo to all regional directors, officers-in-charge, and resident officers at the NLRB stating that non-competes in employment agreements and severance agreements violate the National Labor Relations Act except in rare circumstances. Specifically, Ms. Abruzzo claims that such covenants interfere with workers’…

Continue Reading The NLRB Joins the Fray: Another Attack on Non-Competes
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The UK government has announced that it will bring in legislation to restrict the post-employment non-compete restraints to three months. This is a significant proposal as currently non-compete restrictions in the UK are generally capable of being enforced for a period up to 12 months (if they are “no more restrictive than is reasonably necessary to protect the employer’s legitimate…

Continue Reading UK Government Moves to Limit Non-Competes

Tuesday, May 2, 2023
12:00 p.m. to 1:00 p.m. Central
11:00 a.m. to 12:00 p.m. Mountain
10:00 a.m. to 11:00 a.m. Pacific
1:00 p.m. to 2:00 p.m. Eastern

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About the Program

Join us for a program that will dive into the issues surrounding non-competes in the health care industry. Seyfarth attorneys will engage in a lively panel discussion…

Continue Reading Upcoming ACC Houston Webinar: Non-Competes in the Health Care Workplace
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In an unprecedented move, the FTC has issued a Notice of Proposed Rulemaking that would render unenforceable all non-compete agreements currently in existence (with limited exception), and would bar employers from entering into any contract that that could conceivably prevent a worker from seeking or accepting certain employment, or operating certain businesses, after the conclusion of the worker’s employment with…

Continue Reading Policy Matters Podcast: FTC’s Crackdown on Non-Competes Through Agency Rulemaking
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The FTC’s proposed rule banning non-competes with employees and workers has now been published in the Federal Register.

The rule would provide that noncompete clauses are an unfair method of competition and as a result, the rule would ban employers from entering noncompete clauses with their employees and workers (defined by the FTC to include independent contractors and others). The rule would require employers to rescind existing noncompete clauses with workers and actively inform their employees that the contracts are no longer in effect. The rule would include a limited exception for non-compete clauses between the seller and buyer of a business. This exception would only be available where the party restricted by the non-compete clause is an owner, member, or partner holding at least a 25% ownership interest in a business entity.…

Continue Reading Comments on FTC’s Proposed Rule Banning Non-Competes With Employees and Workers Now Due March 20th 

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On January 4, 2023, the Dallas Court of Appeals in Texas affirmed a summary judgment in a trade secrets physician staffing case that stands as a warning to practitioners regarding (1) what constitutes sufficient damages evidence to survive summary judgment, and (2) whether something can be considered on appeal that has been sealed or subject to a confidentiality agreement.…

Continue Reading Texas Court of Appeals Affirms Summary Judgment in Physician Staffing Case Citing Lack of Damages Evidence

Thursday, January 12, 2023
3:00 p.m. to 4:00 p.m. Eastern 
2:00 p.m. to 3:00 p.m. Central
1:00 p.m. to 2:00 p.m. Mountain
12:00 p.m. to 1:00 p.m. Pacific

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In the first installment of the 2023 Trade Secrets & Non-Competes Webinar Series, our team will focus on the new Federal Trade Commission’s (“FTC”) proposed rule banning the use of…

Continue Reading Upcoming Webinar! FTC Proposes Rule Banning Use of Non-Competes. Now What?
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The District of Massachusetts recently held that garden leave payments, whereby a former employee subject to a restrictive covenant is paid by the former employer for the duration of the restrictive period, do not constitute “wages” under the Massachusetts Wage Act.…

Continue Reading Federal Court Determines that Garden Leave Payments Under Massachusetts Non-Compete Law Are Not Wages, Limiting Former Employees’ Leverage Under Wage Act