On August 20, 2024, in Ryan LLC v. Federal Trade Commission, No. 3:24-cv-00986-E (N.D. Tex.), the United States District Court for the Northern District of Texas granted summary judgment to the plaintiffs and ordered the Federal Trade Commission’s (“FTC”) non-compete rule (the “Rule”) to be set aside with respect to all employers nationally and
Florida Federal Court Enjoins Enforcement of FTC’s Non-Compete Rule Solely Against the Plaintiff
On August 14, 2024, in Properties of the Villages, Inc. v. Federal Trade Commission, No. 5:24-cv-316-TJC-PRL, the United States District Court for the Middle District of Florida enjoined the Federal Trade Commission (“FTC”) from enforcing its non-compete rule (the “Rule”) against the plaintiff in the action. The court’s decision does not prevent the Rule from…
Illinois the Latest State to Enact Legislation Regulating Employers’ Use of AI
On August 9, 2024, Illinois Governor JB Pritzker signed into law HB3773, a bill amending the Illinois Human Rights Act to address employers’ use of artificial intelligence (AI). The amendment clarifies that it is a civil rights violation to use AI that has the effect of discriminating on the basis of protected classes under…
Third Circuit Upholds New Jersey’s Temporary Workers’ Bill of Rights
On July 24, 2024, the Third Circuit Court of Appeals affirmed the denial of a preliminary injunction seeking to bar enforcement of New Jersey’s Temporary Workers’ Bill of Rights Law (the “Law”). The Circuit Court found that the Law does not violate the dormant Commerce Clause of the U.S. Constitution, which prohibits states from enacting…
Job Applicant’s Algorithmic Bias Discrimination Lawsuit Survives Motion to Dismiss
In a recent development in Mobley vs. Workday, Inc., the United States District Court for the Northern District of California denied in part Workday, Inc.’s (“Workday”) Motion to Dismiss, allowing the Plaintiff to pursue novel claims that Workday – a third-party software vendor which provides artificial intelligence (“AI”) driven employment screening tools to assist…
Pennsylvania Federal Court Declines to Preliminarily Enjoin FTC Rule Banning Non-Competes
Earlier today (July 23, 2024), Judge Hodge in the U.S. District Court for the Eastern District of Pennsylvania denied a tree care company’s motion to stay the effective date and preliminarily enjoin the Federal Trade Commission’s (“FTC”) proposed final rule (“Final Rule”) banning nearly all non-competes. ATS Tree Services, LLC v. Federal Trade Commission…