Senior living industry celebrates decision overruling FTC’s noncompete ban

• By: admin
• On: 08/23/2024 10:12:37
• In: Latest News

A federal judge's decision to strike down the Federal Trade Commission's ban on employment noncompete agreements is being celebrated by the senior living industry, among other business and employer groups.

US District Court for the Northern District of Texas Judge Ada Brown's decision on Tuesday set off a flurry of activity among workforces around the country. Brown's decision expanded her July 3 ruling to apply to all employers, not just the parties in a lawsuit challenging the ban in Texas, and let the status quo in each state prevail when it comes to those clauses..

Following Brown's earlier ruling, a Pennsylvania court declined a motion to block the rule and a Florida court granted a limited injunction, leaving employers unsure about whether the rule might be vacated prior to Sept. 4. 

The US Chamber of Commerce joined a handful of business organizations to sue the FTC and sought to block the noncompete rule from taking effect Sept. 4. The lawsuit came within hours of the FTC's vote approving the rule in April.