Many of our clients (in the US and outside) are tracking the progress of the Federal Trade Commission’s proposal to ban non-compete agreements. It remains to be seen whether that rule will be introduced, and if it is, there will undoubtedly be litigation challenging it. In the meantime, however, it is worth noting that the FTC has enforcement powers to require employers, on a case-by-case basis, to modify or eliminate non-compete agreements – a power it has now exercised four times in 2023. Please see our report here for a summary of the latest case.
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