Judge says FTC lacks authority to issue rule banning noncompete agreements
A Texas judge ruled FTC lacks authority to ban noncompete agreements, casting doubt on enforcement. Lawsuit questions FTC's rulemaking power. Final ruling expected by August 30, impacting enforcement on September 4.
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A US judge in Texas ruled that the Federal Trade Commission (FTC) lacks the authority to issue a rule banning noncompete agreements. The judge's preliminary ruling blocks enforcement of the ban against the plaintiff and other intervenors, casting doubt on the FTC's ability to enforce the rule. The FTC had issued a rule in April aiming to render most noncompete clauses unenforceable, citing them as unfair competition practices. The lawsuit against the FTC was brought by a tax services firm and supported by business groups. The judge's decision questions the FTC's rulemaking authority under the FTC Act, specifically sections 5 and 6(g). The ruling is seen as a setback for the FTC's efforts to restrict noncompete agreements, with implications for workers and businesses. The judge plans to issue a final ruling on the case by August 30, affecting the enforcement of the rule scheduled for September 4, 2024.
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4 commentsOh, you’re serious. Sorry, let me laugh even harder.
Companies famously give out attractive raises to retain individuals. They definitely do not give out pittances, and then act shocked when said individuals leave for a competitor.
Honestly, I don’t give a shit if the FTC had the authority or not. Retroactively grant it to them or something. Non-competes are farcical for 99% of employees, and anyone trying to use them to bully people deserves to be mocked.
Congress needs to act for many of these items.
We need to give the current speaker a lot of credit, not for his content, which is controversial at best. But for splitting up bills and trying to get back to “regular order” instead of wasting the year and then jamming through a frantic and gigantic “omnibus” bill at the 11 and a half’th hour.
I don’t care which side of the political spectrum you’re on, the bush patriot act was wrong, bill clinton’s omni bus actions were wrong and trumps presidential actions were overreaching and were wrong.
Governing by instructing your appointed federal agency leaders is the same garbage. This literally is the swamp they talk about. Congress needs to spend a lot more time exercising regular order. I encourage everyone to tell your congress-person this, the next time they ask for your vote or donation.
“Congress is broken” so fix it, don’t just say congress is broken and then embrace socialism and tyranny!!
The same centralization of power happened in Canada with the PMO’s office under Harper and then massively expanded again under the Trudeau liberals who expanded the size and role of the federal government in breathtaking ways.
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Supreme Court limits use of SEC in-house tribunals
The Supreme Court ruled against SEC's use of internal tribunals in fraud cases, citing constitutional violations. Experts predict fewer enforcement actions due to required jury trials, impacting federal agencies' power and regulatory authority.
Judge delays ban on noncompete agreements for employees
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Federal judge partially blocks U.S. ban on noncompetes
A federal judge in Texas partially blocks the U.S. government's ban on noncompete agreements, citing harm to businesses. The ruling delays the ban's enforcement for plaintiffs, questioning the FTC's authority. Noncompete debate continues between job flexibility advocates and confidentiality protection supporters.
Federal judge partially blocks U.S. ban on noncompetes
A federal judge in Texas partially blocked the U.S. government's ban on noncompete agreements, citing plaintiffs' likelihood of success and public interest. The FTC's ban aimed to enhance job mobility and competition.