On Tuesday, the Federal Trade Commission issued a new Rule putting an end to employment-related non-compete clauses. In its justification for the rule, the FTC called non-compete clauses “an unfair method of competition” and stated it is a “violation for [employers] to… enter into non-compete clauses (“non-competes”) with workers.” In today’s very competitive labor market, the new FTC Rule creates a significant disruption for employers.
This new FTC provision—set to take effect in 120 days—renders existing non-compete agreements unenforceable. Existing non-compete agreements with senior executives will remain enforceable, although employers cannot require newly hired senior executives to sign such an agreement.
After the Rule takes effect, employers are required to deliver personal notice to employees (past and present) who signed a non-compete agreement informing them agreements are no longer enforceable. In the notice, employers must inform employees they are free to accept any job or start any business, even if it is directly competitive with the employer.
Compliance with the FTC Rule is not optional. Employers should consider new ways they can protect against a former employee gaining a competitive advantage by using the employer- provided training, the relationships made possible by the employer, or the confidential information learned from the employer. RMP can assist you in navigating this disruption and can provide advice on how to most effectively protect your vital business interests going forward.
RMP Attorneys At Law has an experienced Employment Law Attorney team dedicated to helping you navigate these changes. If you have any questions or would like guidance, reach out to one of our employment attorneys, Tim Hutchinson, Seth Haines, Larry McCredy, or Taylor Baltz or call 479.443.2705.
Members of the RMP Litigation Team, led by Wendy Johnson and Chris Plumlee recently represented a client in back-to-back, eight and six-week, jury trials in Denver, Colorado. These trials involved 10 defendants who were charged with a conspiracy to fix prices and rig bids in violation of the Sherman Antitrust Act. Each of the trials ended with the federal judge declaring a mistrial after both juries were unable to reach a unanimous verdict. Ultimately, their relentless advocacy resulted in the charge against their client being dismissed with prejudice, restoring their client’s liberty and reputation in the community.
In recognition of Mrs. Johnson and Mr. Plumlee’s skill and dedication to their client throughout this case, the RMP Litigation Team, along with attorneys for the four other defendants dismissed as a result of the second trial, were recently recognized as a “Litigator of the Week” by Litigation Daily, a national publication of the American Lawyer. When interviewed by Litigation Daily about the case, Mrs. Johnson, a former Assistant United States Attorney, stated, “United States government attorneys have one job, which at all times is to seek justice, not convictions. Government attorneys must have the courage, moral compass, and professionalism to do only that regardless of the length of the investigation, resources expended, or outside pressures. The citizens of the United States deserve nothing less.”
RMP is extremely fortunate to have attorneys like Mrs. Johnson, Mr. Plumlee and a talented and deep RMP Litigation Team, who represent their clients so well by embodying the essential qualities of zealous advocacy, integrity, and strong leadership.
Here is the link to the national publication of The AmLaw Litigation Daily where Wendy Johnson and Chris Plumlee of RMP LLP and Barry Pollack of Kramer Levin were recognized as Litigators of the Week by The American Lawyer:
AmLaw-Litigators-of-the-Week-Defense-Lawyers-for-the-Poultry-Execs
The information provided on this website does not constitute legal advice. Instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information. Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter.
Members of the RMP Litigation Team, led by Wendy Johnson and Chris Plumlee recently represented a client in back-to-back, eight and six-week, jury trials in Denver, Colorado. These trials involved 10 defendants who were charged with a conspiracy to fix prices and rig bids in violation of the Sherman Antitrust Act. Each of the trials ended with the federal judge declaring a mistrial after both juries were unable to reach a unanimous verdict. Ultimately, their relentless advocacy resulted in the charge against their client being dismissed with prejudice, restoring their client’s liberty and reputation in the community.
In recognition of Mrs. Johnson and Mr. Plumlee’s skill and dedication to their client throughout this case, the RMP Litigation Team, along with attorneys for the four other defendants dismissed as a result of the second trial, were recently recognized as a “Litigator of the Week” by Litigation Daily, a national publication of the American Lawyer. When interviewed by Litigation Daily about the case, Mrs. Johnson, a former Assistant United States Attorney, stated, “United States government attorneys have one job, which at all times is to seek justice, not convictions. Government attorneys must have the courage, moral compass, and professionalism to do only that regardless of the length of the investigation, resources expended, or outside pressures. The citizens of the United States deserve nothing less.”
RMP is extremely fortunate to have attorneys like Mrs. Johnson, Mr. Plumlee and a talented and deep RMP Litigation Team, who represent their clients so well by embodying the essential qualities of zealous advocacy, integrity, and strong leadership.
Here is the link to the national publication of The AmLaw Litigation Daily where Wendy Johnson and Chris Plumlee of RMP LLP and Barry Pollack of Kramer Levin were recognized as Litigators of the Week by The American Lawyer:
AmLaw-Litigators-of-the-Week-Defense-Lawyers-for-the-Poultry-Execs
The information provided on this website does not constitute legal advice. Instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information. Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter.
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Fax Line: 479.443.2718
Email: info@rmp.law
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Little Rock – 501-954-9000
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Little Rock, AR 72212