Wednesday, August 21, 2024

Judge Blocks FTC Noncompete Ban

 Just a brief post to note that, as I predicted, a red state judge, at the urging of Republicans, has blocked the FTC from implementing its ban on noncompete agreements. 

Here is the ruling.

The Supreme Court, as currently constituted, will almost certainly uphold this ruling. So I would urge you, if you think noncompetes should be eliminated, to vote for Democrats in every single election this cycle. Republicans have blocked every single attempt to ban or reduce noncompete agreements since I started practicing in 1986. They will keep doing so.

Noncompetes are abused to force workers into staying in terrible working conditions. They suppress wages. They are terrible for the economy and innovation. 

Until some new Supreme Court judges can be appointed, the law won't change on the federal level so you will have to look to state legislatures to change things in your state. There have been substantial limitations placed on noncompetes in blue states like California, New York, and Massachusetts. So if your state legislature won't change the law, vote to change your legislators.