The US FTC proposes a rule that would prohibit employers from having their employees sign any form of noncompete agreements

The FTC proposed a rule that departs from decades of legal precedent and ignores procompetitive justifications by looking to ban noncompetes in almost every situation. On January 5, 2023, the Federal Trade Commission published a Notice of Proposed Rulemaking that would prohibit employers from having their employees sign any form of noncompete agreements. The proposed rule would apply to all independent contractors and any paid or unpaid employees.

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Authors

  • Clifford Chance (Washington)
  • Clifford Chance (Washington)

Quotation

Jordan Passmore, Sung Shin, The US FTC proposes a rule that would prohibit employers from having their employees sign any form of noncompete agreements, 4 January 2023, e-Competitions January 2023 - II, Art. N° 110562

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