July 11, 2024

FTC Ban on Noncompetes and Texas Ruling – What it Means

A federal judge in Texas has issued a preliminary order to block the FTC proposed ban on noncompetes. The judge postponed the September 4th effective date of the rule solely with respect to the plaintiffs in that particular case and intends to issue a decision on the merits of the case on or before August 30th.

What it means: Nationally, nothing yet. The order is preliminary for now, and only impacts the plaintiffs in the lawsuit, including Ryan LLC, a tax firm in Dallas, the U.S. Chamber of Commerce, and other organizations – but not their member companies.

Nemphos Braue continues to monitor ongoing cases and announcements from the FTC, and is available to assist clients as they have questions about these agreements and others.

Read more in our previous blog posts:

FTC Bans Noncompetes, US Chamber of Commerce Files Lawsuit

FTC Proposal – Ban of Noncompete Provisions

Noncompetes Face Restrictions Following White House Executive Order


More details and news coverage:




Bloomberg Law

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