Delaware Court Confronts Issue of First Impression: When a Company Attempts to Enforce a Noncompete Seeking Only Damages, Does the Same Reasonableness Analysis Apply? https://t.co/rRYza4goOz
Meet the New Boss – Same as the Old Boss? Cryptic FTC Filings Suggest Non-Compete Ban May Not Be Dead After All https://t.co/MBxTNmGDrQ
Colorado Clarifies Limits on Noncompetes in Business Sale Arrangements https://t.co/1GwvjfyaaL | by @shblaw
The Federal Trade Commission (FTC), under the Trump administration, faces a deadline to defend or abandon its ban on noncompete agreements, with indications that the agency is unlikely to support the policy. Despite this, a bipartisan coalition of states and cities, including traditionally conservative and liberal jurisdictions, is advancing legislation to restrict or ban noncompete agreements independently. These agreements are criticized for limiting worker mobility and suppressing wages. Notably, states like Colorado have clarified limits on noncompetes in business sale contexts, and Delaware courts are addressing novel legal questions regarding the enforcement of noncompetes when only damages are sought, specifically whether the same reasonableness analysis applies. Additionally, some legal observers suggest that recent FTC filings may indicate the noncompete ban is not entirely abandoned. States are also considering 'trigger' legislation to enforce the National Labor Relations Act, reflecting broader labor policy developments at the state level amid federal uncertainty.