Non-Compete

On April 15, 2026, the Federal Trade Commission announced an enforcement action against one of the nation’s largest pest-control companies, Rollins, Inc., ordering the company to stop enforcing noncompete agreements against more than 18,000 workers nationwide. The FTC simultaneously sent warning letters to 13 other pest-control companies, signaling broader scrutiny of noncompete practices across the industry.… Continue Reading

The Maryland legislature recently passed several laws that affect pay transparency, family and medical leave, the scope of the State’s antidiscrimination laws, workplace safety, and noncompete agreements. As many of these new laws already have taken effect, now is the time for Maryland employers to take steps to ensure compliance.

Pay Transparency

On October 1, 2024, Maryland joined a host of other states requiring pay transparency in internal and external job postings.… Continue Reading

ATS Tree Services, LLC (“ATS”) has voluntarily dismissed the lawsuit it filed in April 2024 in the U.S. District Court for the Eastern District of Pennsylvania challenging the Federal Trade Commission’s (“FTC”) Non-Compete Clause Rule (“the Final Rule”), which banned the use of most non-compete clauses in employment contracts.

The dismissal comes after the U.S.… Continue Reading

Summary

What’s next for employers who want to protect their businesses from competition from departing employees, including the loss of customers, employees, and confidential information? With a federal court injunction against the Federal Trade Commission’s (FTC) Final Rule banning noncompetes, the door is open for employers to continue using them. But companies now have time to reflect on the increasing hostility of courts and legislatures towards overly broad restrictive covenants, update their existing agreements, assess which employees ought to be subject to post-employment covenants, and determine how to best protect their trade secrets and confidential information.… Continue Reading

On August 20, 2024, Judge Ada Brown of the U.S. District Court for the Northern District of Texas vacated the Federal Trade Commission’s (FTC) final Rule that the FTC enacted to ban noncompete agreements.  Judge Brown held that the FTC exceeded its statutory authority and invalidated the Rule on a nationwide basis.… Continue Reading

As we previously reported, here, the Federal Trade Commission (FTC) voted to issue a final rule (the “Rule”) that would prevent most employers from enforcing noncompete agreements against workers, with only limited exceptions for existing noncompetes with senior executives and noncompetes made in connection with the bona fide sale of a business.… Continue Reading

The Federal Trade Commission (FTC) voted yesterday to issue a final rule that will prevent most employers from enforcing noncompete agreements against workers, with only limited exceptions for existing noncompetes with senior executives and noncompetes made in connection with the bona fide sale of a business. Employers must review existing and prospective employment agreements and revise them to comply with the new rule, which, unless enjoined by a court, will go into effect 120 days after publication in the Federal Register, expected in the coming days.… Continue Reading

On March 21, 2024, the Federal Deposit Insurance Corporation (“FDIC”) issued its proposed Statement of Policy on Bank Merger Transactions (the “Proposal”) for public comment. The Proposal seeks to update guidance, last amended in 2008, on how it will evaluate bank merger transactions with respect to competition, financial resources, the convenience and needs of communities, financial stability, and money laundering.… Continue Reading

Non-compete agreements and other restrictive covenants have drawn intense scrutiny from the federal government, as well as in several states, causing businesses to consider the enforceability of their agreements and how to protect their businesses. Jay Zweig recently sat down with Matt Crossman of the AccelPro Employment Law podcast to discuss the keys to effectively drafting and enforcing these agreements.… Continue Reading