FTC’s Sweeping Non-Compete Ban: Summary, States’ Views, and Litigation Challenges

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On April 23, 2024, the FTC voted 3-2 to adopt a final rule banning the use of non-compete agreements nationwide, impacting 30 million workers by the FTC’s own estimates. This near categorical ban on the non-compete agreements is a contrast from a regime in which these agreements had been recognized to have potential procompetitive value and therefore were reviewed for reasonableness. It also marks a departure from the state law in many jurisdictions. Less than 24 hours after the vote, two lawsuits have challenged the rule based on statutory and Constitutional grounds. This breaking news panel will discuss the final rule, grounds for statutory and Constitutional challenges, and state AG reactions.  


Tyler S. Badgley, Senior Counsel, U.S. Chamber Litigation Center

Gwendolyn J. Lindsay Cooley, NAAG Antitrust Task Force Chair and Assistant Attorney General for Antitrust, Wisconsin Department of Justice

Julian W. Kleinbrodt, Partner, Gibson, Dunn & Crutcher LLP

Chris Mufarrige, Chief of Staff, FTC Commissioner Melissa Holyoak

Moderator: Alexander P. Okuliar, Co-chair, Global Antitrust Law Practice Group, Morrison Foerster


As always, the Federalist Society takes no position on particular legal or public policy issues; all expressions of opinion are those of the speaker.