Benesch Partner Scott Humphrey Quoted in Bloomberg Law Article on FTC’s Noncompete Ban

Scott Humphrey, Partner and Chair of Benesch’s Trade Secrets, Restrictive Covenants, and Unfair Competition Practice Group, was recently quoted in Bloomberg Law regarding the FTC’s noncompete ban. 

The article discusses the ongoing legal battle surrounding noncompete agreements in the U.S. The Federal Trade Commission’s (FTC) attempt at a near-total ban on noncompetes was blocked by a federal judge in Texas, who ruled that the FTC lacked the authority to enforce such a ban. This decision was a significant win for employers, though the FTC intends to appeal.

As a result, this decision may pave the way for more state-level regulations on noncompetes, with some states already having bans or restrictions in place. The ruling reflects a broader shift in the balance of power between employers and employees, with recent developments favoring employers.

“For now, companies that were concerned about having to tear up existing noncompetes can breathe a sigh of relief,” said Humphrey. 

To read the full article, click here.

To read more about the Texas court’s decision to permanently block the FTC’s noncompete ban, click here.