The FTC has banned noncompete agreements

https://www.theverge.com/2024/4/23/24138559/ftc-noncompete-agreement-ban

33 8 2 years ago

One of the best decisions made. Non-competes are harmful and the problem they claim to solve can be resolved in other ways.

NominalNews2• 2 years ago

Why economists are so critical of non-competes - https://www.nominalnews.com/p/to-compete-or-non-compete

dev1ycan• 2 years ago

Good, I hope this trickles down to other countries that seem to just copy paste US laws like mine.

I have a non compete that bans me from working in my field for 6 months, like how is this legal? absolutely crazy how every company basically copy pasted that clause into their contracts.

jdougan• 2 years ago

There is a reasonable legal argument that says it shouldn't be, unless you are compensated for the time (at least under anglo-american legal theory). As it is, courts will often dismiss "unreasonable" no-compete clauses, but you have to spend money on a lawsuit to get there. I'm not completely sure if the FTC is the right place for this ruling, but I'm not unhappy with it.

It appears to be a late 19th century phenomenon. https://scnoncompetelawyer.com/short-history-of-non-competes...

As some people have pointed out, the action will probably be moving to trade secret and NDAs protections.

maerF0x0• 2 years ago

I'm not always a democrat, but I do like the FTC under democratic presidency.

moose44• 2 years ago

Dupe: https://news.ycombinator.com/item?id=40136010

reureu• 2 years ago

Nice! Now ban NDAs when it pertains to claims of illegal activity including discrimination. I know there are some really fascinating stories floating around out there...

ChrisArchitect• 2 years ago

[dupe]

The FTC has banned noncompete agreements

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