The FTC’s ban on noncompete agreements has been delayed

By Madlin Mekelburg and Rachel Graf
Published 4 Min Read

A federal judge delayed implementation of the U.S. Federal Trade Commission’s near-total ban on non-compete agreements, the first salvo in the high-stakes legal fight over how much freedom workers should have to switch jobs within an industry.

U.S. District Judge Ada Brown in Dallas sided with the U.S. Chamber of Commerce and a Texas-based tax firm that claimed in a lawsuit the agency lacks authority to craft rules defining unfair methods of competition. The groups warned the unprecedented rule would invalidate 30 million employment contracts in a move that “amounts to a vast overhaul of the national economy.”

Madlin Mekelburg and Rachel Graf

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