restrictions

FTC Abandons Nationwide Non-Compete Ban, But Affirms Ability to Pursue Case-Specific Enforcement Actions

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On September 5, 2025, the Federal Trade Commission (FTC) voluntarily dismissed its appeal of court decisions that had blocked its efforts to implement a nationwide ban on non-competition agreements. This voluntary dismissal was largely anticipated in light of the change in administration and consequent leadership change at the FTC. The FTC’s proposed ban had been introduced in April 2024 and sought to eliminate most non-compete provisions in employment contracts across the country. That FTC action generated substantial public discourse and was met with swift legal challenges. Courts in Texas and Florida ultimately ruled against the ban’s implementation. The Texas federal …

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The FTC’s “Ban” on Non-Competes

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On April 23, 2024, the Federal Trade Commission (FTC) voted to issue a new rule largely prohibiting non-compete restrictions in the workplace. This groundbreaking rule was published in the Federal Register on May 7, 2024, and is presently scheduled to become effective on September 4, 2024. However, the FTC’s final rule has already been subjected to court challenges, so it bears watching whether it will, in fact, go into effect at that time. Notwithstanding the present uncertainty, employers and employees alike should understand the wide-ranging implications of the FTC’s new rule as it could largely reshape the dynamics of employer-employee …

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