John Siegal

Aug 21, 2024 | lexology.com | John Siegal |Joyce Cox |Justin Murphy |Daryl Leon

Key TakeawaysA Texas district court judge has issued a summary judgment decision in Ryan, LLC v. Federal Trade Commission vacating the Federal Trade Commission’s (FTC) Noncompete Rule (Rule) nationwide. Unless and until an appeal is heard and decided, the Rule will not take effect on September 4. This decision follows the same court’s July 3 preliminary decision to block the Rule on employment-based noncompetes but, in that decision, only for the parties to the case.

Jul 5, 2024 | jdsupra.com | Joyce Cox |Daryl Leon |John Siegal

Key Takeaways The FTC’s Rule largely banning employment-based noncompetes has been blocked by a Texas District Court Judge in Ryan, LLC v. Federal Trade Commission. But the injunctive relief against enforcement only applies in that Texas case. The court declined to impose a nationwide injunction. This mixed result imposes great uncertainty for employers and employees.

Apr 25, 2024 | lexology.com | John Siegal |Daniel Kaufman |Margaret Butler |Daryl Leon

Key TakeawaysOn April 23, 2024, the Federal Trade Commission (FTC or the Commission) presented its Final Non-Compete Clause Rule (the Final Rule). If it isn’t blocked by a nationwide injunction – which is a distinct possibility – the Final Rule will go into effect 120 days after it is published in the Federal Register. The Final Rule constitutes a near-total ban on the use of non-competes in the employment context.

Mar 5, 2024 | jdsupra.com | Justin Guilfoyle |Daryl Leon |John Siegal

Members of the New York City Council are looking to accomplish what the New York State Legislature could not – proposing various bans on the use of non-competes in New York City. On February 28, 2024, members of the New York City Council introduced three bills that are aimed, to varying degrees, at reducing or eliminating the use of non-competes.

Jun 23, 2023 | jdsupra.com | Margaret Butler |Steven Goldberg |John Siegal

Key Takeaways New York is moving toward a statute restricting the use of noncompetes. The New York State Legislature this week passed a bill that would make New York perhaps the most restrictive state when it comes to noncompetes, and it is awaiting the governor’s action. New York’s bill is more restrictive than the proposed FTC noncompete rule, which at least contains a narrow exception in the M&A context. This is potentially the broadest prohibition yet in any jurisdiction.