FTC Finalizes Consent Order Requiring Employer to End Blanket Noncompete Agreements
In the first enforcement action by the Federal Trade Commission (FTC) since the Trump administration stopped defending an FTC rule that would have banned nearly all noncompete agreements in the employment context, the FTC recently reached an agreement containing a 10-year consent order with an employer, requiring the employer to stop enforcing noncompete agreements against nearly 1,800 employees. The action signals the FTC’s shift to case-by-case approach in limiting the use of noncompete agreements, with a focus on restricting company-wide or overly broad noncompete agreements.
