Not Done Yet: FTC To Hold Workshop In 2026 Regarding Non-Competition Agreements

Key Takeaways

• FTC to revisit a national non-compete ban: The FTC will host a Jan. 27, 2026 workshop as it restarts efforts to regulate or potentially ban most non-competition agreements nationwide.
• Renewed effort follows prior rule's collapse: The workshop comes after the FTC's 2024 final rule banning non-competes was blocked in court, vacated and ultimately abandoned due to legal and administrative challenges.
• Future national standard possible: The workshop may signal the first step toward a new FTC rule, despite current non-compete enforceability continuing to vary significantly by state law.

The FTC appears poised to renew its years-long effort to address, and potentially ban, most non-competition agreements on a national level. On Jan. 27, 2026, the Federal Trade Commission will host a workshop titled, "Moving Forward: Protecting Workers from Anticompetitive Noncompete Agreements." The FTC reports that the workshop "will include public statements from FTC Commissioners, victims of unfair and anticompetitive noncompete agreements and leading experts in the field."

The workshop follows years of national attention and contentious litigation regarding the FTC's prior attempt to impose a national ban on most non-competition agreements. The FTC's effort started in January 2023, when the FTC proposed a rule to ban most non-competition agreements. In April 2024, the FTC issued a final rule banning most non-competition agreements nationwide effective Sept. 4, 2024, but employer groups quickly filed lawsuits challenging the rule. In August 2024, a Texas district court enjoined the final rule's enforcement as arbitrary and capricious. The FTC appealed the injunction to the Fifth Circuit but subsequently vacated the final rule and dropped the appeal, citing legal issues and administrative changes.

Now, it appears that the FTC is ready to take up the issue again — and the January workshop could be the first step towards issuing another rule that would provide a national standard for addressing non-competition agreements. Currently, the validity and enforceability of non-competition agreements are governed by state law, which varies widely from state to state.

The workshop will be held from 1-5 p.m. ET on Jan. 27, 2026, and it will be open to the public. Attendees must register in advance to attend in person at the FTC's headquarters or attendees may attend via livestream. Polsinelli Restrictive Covenant Attorneys will be in attendance at the workshop. If you currently have or are thinking about implementing non-competition agreements in your workforce, it is important to have an attorney well-versed in non-competition law review your agreements for compliance with all applicable state laws.

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