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ARTICLE · 15 MAY 2024

FTC Announces Rule Banning Non-Competes

Schneider Bell
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The FTC passed its long-awaited final rule banning non-competes (the "Rule") yesterday, April 23rd.

United StatesEmployment and HR
Michael W. Schauer
Michael W. Schauer
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The FTC passed its long-awaited final rule banning non-competes (the "Rule") yesterday, April 23rd. The Rule goes into effect 120 days after it is published in the Federal Register. The Rule has not been published as of the time of writing, but we expect the Rule to be published this week as the Federal Register is regularly updated.

The Rule defines non-competes broadly as any contractual term or condition of employment that prevents a worker from (1) seeking or accepting work in the United States with a different person/company after the end of the worker's engagement with an employer or (2) operating a business in the United States after the end of the worker's engagement with an employer.

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