On April 23, 2024, the Federal Trade Commission (“FTC”) voted 3-2 to issue a proposed final rule (“Final Rule”), which, absent a successful legal challenge, will ban most noncompete agreements in the United States. 

Despite more than 26,000 comments from the public, the Final Rule does not narrow the rule first proposed by the FTC

Today the Federal Trade Commission voted 3-2 to approve a Final Rule that, absent a successful legal challenge, will ban most noncompete agreements in the United States beginning 120 days after publication in the Federal Register.

Key provisions in the Final Rule are as follows:

  • New noncompetes
    • Banned for all workers, including “senior executives,” following

Employers who rely on artificial intelligence driven tools for their recruiting and hiring processes may face new regulations in New York and New Jersey.  In the past few weeks, three bills have been proposed (two in New Jersey and one in New York) that follow New York City’s Local Law 144 (“Local Law 144”), a

Joining an emerging trend of legislative and regulatory hostility towards non-compete agreements, on February 28, 2024, the New York City Council introduced three new bills proposing restrictions on non-compete agreements in New York City.  Int. No. 140 proposes an outright ban on non-compete agreements for all workers in New York City.  Int. No. 146 and

In a win for businesses that rely on restrictive covenants to protect their assets and investments, on January 29, 2024, the Delaware Supreme Court unanimously reversed a Chancery Court decision that invalidated a “forfeiture-for-competition” provision in Cantor Fitzgerald’s limited partnership agreement.

As we previously reported on this blog, last January the Chancery Court invalidated

In a recent development in Mobley vs. Workday, Inc., the novel class action lawsuit filed in the United States District Court for the Northern District of California alleging that Workday’s algorithm-based applicant screening tools discriminate against job applicants based on race, age, and disability, the Court granted Workday’s motion to dismiss on January 19,