The Federal Trade Commission (FTC) has approved a new Rule which bans for-profit employers from entering into post-employment, non-compete agreements with employees.
For decades, many courts and legislatures at the state and federal level have largely approved the use of non-compete covenants between employers and employees.
As you may have already heard, on April 23, 2024, the Federal Trade Commission ("FTC") issued a final rule banning most non-compete clauses in employment contracts in the U.S. ("Final Rule").
On April 23, 2024, the Federal Trade Commission, in a highly anticipated vote, passed the Non-Compete Clause Rule, 16 CFR § 910, which purports to bar all non-competes in the United States, subject to limited exceptions.