Daniel Powers’ Post

The ND Texas Court that had the Ryan LLC case challenging the FTC's ban on non-compete agreements just handed down its final judgment in the case, effectively striking down the FTC's Rule on non-compete agreements. Unlike the previous orders in this case, which were limited to the participating parties, the final judgment applies nationwide unless an appellate court reverses. As such, it is safe to say that the September 4th deadline will not have to be complied by employers (there is no chance the 5th Circuit will hear the case before that nor issue a stay in favor of the FTC). Big picture: Non-Competes are back (well, they never left).

FTC Ruling on Non-Competes = FREEDOM Did you see the ruling by the FTC that effectively nullifies non-compete agreements? Thank goodness and it's about time. How can it be that a company can lay you off and then dictate where you can work next? Let's see, "You can't work here but you also can't work at the places most likely to value your skills and experience." WHAT??? Our country was founded on the freedom to pursue life, liberty, and happiness. Hopefully our work fits in there somewhere. To be denied the right to work where you want is ludicrous. Should there be some parameters to ensure that a company's most important intellectual property isn't carelessly (or willfully) shared with their direct competitors? Sure. But the cure (non-competes) has grossly overcompensated for the potential risk. Whether you are in a job you don't love but have been afraid to leave because of concerns over your non-compete, or if you have been let go and feel artificially constrained by a non-compete at your last company, be thankful for this ruling from the FTC. Yes, it's going to be challenged in the courts but my money is on common sense prevailing. Federal Trade Commission #FTC #noncompetes #jobseekers

Remember my post a few weeks ago asking how you’d feel if NONCOMPETES WENT AWAY??? Well, THEY JUST DID!!! Sort of 🤷🏽♂️ Yesterday, the Federal Trade Commission announced a new final rule effectively banning noncompetes in most circumstances. Here are the key points: ▪️ The new rule is NOT immediately effective and does not take effect until August. ▫️You will no longer be able to enter into non-compete clauses with any workers. ▪️You can no longer enforce existing non-compete agreements – unless they cover certain senior executives (workers earning more than $151,164 annually and who are in policy-making positions) ▫️You must provide explicit notice to BOTH current and former employees that their non-competes are no longer enforceable. ▪️Existing noncompetes before can still be enforced against Senior Executives. ▫️You do not need to take active steps to formally rescind existing non-competes. ▪️Noncompetes during the bona fide sale of a business or the sale of someone’s ownership interest are STILL ALLOWED. Of course, the new rule is already being challenged in court, so we will have to wait and see for the final outcome. ⚠️ But, for now … be VERY CAUTIOUS and reach out to competent counsel if you have any questions about noncompetes (because I am most definitely NOT your lawyer and this is not legal advice unless you hire me 😉 ). 🔗 to FTC’s fact sheet and the final rule in the comments. #lawyers #competition #careers

On April 23, the US Federal Trade Commission held a public hearing to officially adopt a new rule aimed at banning all new noncompetes between employers and employees. This rule will render most existing noncompetes unenforceable. However, it's important to note that the FTC's decision is expected to face significant litigation before it goes into full effect in approximately 120 days.    What does this mean for employers? Join our panel to unpack this new FTC rule and what it means for your business.   Register here: https://lnkd.in/dpDSaPWx   Read more about the ban: https://lnkd.in/dbqkQ7Js

Join me, Nikki Hutson, Fred Shrayber and Ausra Deluard on Monday, April 29 for a brief webinar about the FTC’s rule prohibiting noncompetes and how it will impact employers. Looking forward to a lively discussion!

I know what I’m doing on April 23! Watching the FTC open meeting where the Commission will vote on whether to release a proposed final rule banning noncompetes. If you’ve lost track, it’s been about a year since the FTC closed the comment period for its initial proposed rule. Will April 23 be the day we learn what the Commission did with more than 26,000 comments it received a year ago? Stay tuned. #noncompete #restrictivecovenants #employmentlaw

This is interesting. What do you think about the FTC new ruling on noncompetes? This surly will go to the Supreme Court. For me…I will get to update my course lecture to include new content for discussion. Everyone should be talking about this.

The FTC just published its final rule banning non-competes in the United States. The Rule, which will go into effect in 120 days (absent an injunction), makes it an unfair method of competition to: >Enter or attempt to enter a non-compete >Enforce or attempt to enforce a non-compete >Represent a worker is subject to a non-compete clause The Final Rule revises the scope of non-compete to include forfeiture provisions but to exclude (in most cases) non-solicitation and non-disclosure provisions. The Final Rule also requires notice to each employee subject to a non-compete covered by the Rule’s prohibition on enforcement affirmatively stating the non-compete cannot and will not be enforced. For a full brief and links to the FTC Ruling, visit our blog post here - https://ow.ly/SlBq50RnsW9

The FTC just published its final rule banning non-competes in the United States. The Rule, which will go into effect in 120 days (absent an injunction), makes it an unfair method of competition to: >Enter or attempt to enter a non-compete >Enforce or attempt to enforce a non-compete >Represent a worker is subject to a non-compete clause The Final Rule revises the scope of non-compete to include forfeiture provisions but to exclude (in most cases) non-solicitation and non-disclosure provisions. The Final Rule also requires notice to each employee subject to a non-compete covered by the Rule’s prohibition on enforcement affirmatively stating the non-compete cannot and will not be enforced. For a full brief and links to the FTC Ruling, visit our blog post here - https://ow.ly/SlBq50RnsW9

The FTC just published its final rule banning non-competes in the United States. The Rule, which will go into effect in 120 days (absent an injunction), makes it an unfair method of competition to: >Enter or attempt to enter a non-compete >Enforce or attempt to enforce a non-compete >Represent a worker is subject to a non-compete clause The Final Rule revises the scope of non-compete to include forfeiture provisions but to exclude (in most cases) non-solicitation and non-disclosure provisions. The Final Rule also requires notice to each employee subject to a non-compete covered by the Rule’s prohibition on enforcement affirmatively stating the non-compete cannot and will not be enforced. For a full brief and links to the FTC Ruling, visit our blog post here - https://ow.ly/SlBq50RnsW9