Client Alerts & Insights

FTC Update

May 13, 2024

Q: When will we know the Court’s Ruling on the FTC Non-Compete Ban? A: July 3rd.

The United States District Court for the Northern District of Texas announced that it will issue its decision on the FTC’s Rule to ban non-compete agreements on July 3rd.  The Rule is scheduled to go into effect on September 4th so companies will have approximately two months to prepare for the Rule if the Court decides to not enjoin the Rule.   As mentioned in the Q&A we sent out moments after the FTC voted to enact the Rule, we recommend that companies not take any action regarding the Rule until after the court issues its ruling.   We will issue a client alert as soon as the court enters its ruling.   If you have any questions, please reach out to:

Scott Humphrey at shumphrey@beneschlaw.com or 312.624.6420.

Margo Wolf O’Donnell at modonnell@beneschlaw.com or 312.212.4982.

Charles Leuin at cleuin@beneschlaw.com or 312.624.6344.

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