FTC Fails 1st Test Of Rulemaking Push In Non-Competes Loss

Herrick partner, John H. Chun, spoke with Law360 about a U.S. District Judge's ruling that has halted the Federal Trade Commission's ("FTC") upcoming September 4, 2024, nationwide ban on non-compete agreements.

The article highlighted that U.S. District Judge Ada E. Brown's "decision gives the U.S. Chamber of Commerce a clear win on its bid to stop the FTC in its tracks on efforts to expand rulemaking beyond its normal consumer protection realm and into the essentially unused antitrust space via its authority over 'unfair methods of competition.'"

The article said that following Judge Brown's ruling, appeals by the FTC are likely. John noted that even if the FTC doesn't appeal, the FTC has said it could continue going after non-competes with case-by-case enforcement.

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