The saga involving the controversial Federal Trade Commission ("FTC") regulations banning most post-employment non-compete restrictions continues on. As we previously advised, in August of this year, the United States District Court for the Northern District of Texas struck down the regulations shortly before they were to become effective. It was unclear whether the FTC was going to appeal that ruling (Ryan LLC v. Federal Trade Commission). Now, on October 18th, the FTC has formally appealed, filing a notice of appeal in the Fifth Circuit.
For now, with the appeal still pending, the ruling of the District court remains, and thus the FTC's non-compete regulations remain enjoined. We will continue to post updates on this matter as it develops.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.