FTC Proposes Rule Banning Non-Competes
By: Curry Sexton, Brenda Hamilton, and Mark Opara
The Federal Trade Commission (FTC) recently proposed a new rule that would ban employers from entering into non-competes with workers and require employers to rescind existing non-competes. The FTC is seeking public comment on the proposed rule, which is based on a preliminary finding that non-competes constitute an unfair method of competition and therefore violate Section 5 of the Federal Trade Commission Act. Comments on the proposed rule will be due within 60 days of the Federal Register publishing the proposed rule, which is a date to be determined.
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