noncompete

Texas judge blocks the FTC from enforcing its ban on noncompete agreements

Texas judge blocks the FTC from enforcing its ban on noncompete agreements

The Federal Trade Commission's (FTC) efforts to ban noncompete agreements has been blocked by a federal judge in Texas. According to The Washington Post, US District Judge Ada Brown has determined that the agency doesn't have the authority to enforce the rule, which was supposed to take effect on September 4. She reportedly wrote in her decision that the FTC only looked at "inconsistent and flawed empirical evidence" and didn't consider evidence in support of noncompetes. "The role of an administrative agency is to do as told by Congress, not to do what the agency thinks it should do," she…
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Texas court blocks the FTC’s ban on noncompete agreements

Texas court blocks the FTC’s ban on noncompete agreements

The Federal Trade Commission's (FTC) ban on noncompete agreements was supposed to take effect on September 4, but a Texan court has postponed its implementation by siding with the plaintiffs in a lawsuit that seeks to block the rule. Back in April, the FTC banned noncompetes, which have been widely used in the tech industry for years, to drive innovation and protect workers' rights and wages. A lot of companies are unsurprisingly unhappy with the agency's rule — as NPR notes, Dallas tax services firm Ryan LLC sued the FTC hours after its announcement. The US Chamber of Commerce and…
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