The Federal Trade Commission’s (FTC) efforts to ban noncompete agreements continues. This past weekend, on October 18, 2024, the FTC filed a notice of appeal challenging the August 2024 ruling by a US District Court judge in Texas, which effectively blocked the final rule that would implement the Commission’s noncompete ban.

US District Judge Ada Brown has officially blocked the US Federal Trade Commission’s rule banning noncompete agreements. Brown had temporarily blocked the rule in July, stating the FTC did not have rulemaking authority.

After a Texas federal judge ruled against the Federal Trade Commission and its Rule seeking to end noncompete bans for workers, a Pennsylvania federal judge has ruled in the FTC’s favor.

The Federal Trade Commission’s April vote to approve a final rule banning noncompete clauses received swift and significant pushback from corporations who deemed the agreements necessary to their operations.

The Federal Trade Commission (FTC) has proposed a new rule that would ban employers from imposing noncompete clauses on workers. The proposed rule is based on the FTC’s preliminary finding that noncompete clauses constitute an unfair method of competition, which is in violation of Section 5 of the FTC Act.