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U.S. District Court for the Northern District of Texas

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Regulatory Agencies Are in Overdrive. We Will See Them in Court. A Significant Win in Fight against FTC Micromanagement U.S. Chamber Wins Lawsuit Over FTC Noncompete Agreements Ban

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District court grants U.S. Chamber's summary judgment motion and sets aside FTC ban on noncompete agreements

August 20, 2024

Order

The Chamber chalked up a victory for American businesses, workers, and the economy when a federal court blocked the Federal Trade Commission (FTC) from implementing a nationwide ban on employer noncompete agreements.

Why it matters: Noncompetes are important to fostering innovation and promoting competition. With a ban, employees could have seen fewer opportunities and reduced investments in their education, training, and development.

Our take: “This decision is a significant win in the Chamber’s fight against government micromanagement of business decisions. A sweeping prohibition of noncompete agreements by the FTC was an unlawful extension of power that would have put American workers, businesses, and our economy at a competitive disadvantage,” said Chamber President and CEO Suzanne P. Clark. “We remain committed to holding the FTC — and all agencies — accountable to the rule of law, ensuring American workers and businesses can thrive.”

U.S. Chamber coalition files reply in support of their motion for summary judgment and response to the FTC’s cross-motion

August 09, 2024

Reply Brief

U.S. Chamber coalition files motion for summary judgment in challenge to FTC Noncompete Rule

July 19, 2024

Motion for Summary Judgment

Court denies U.S. Chamber coalition’s motion to expand the scope of the preliminary injunction against the FTC’s Noncompete Rule

July 11, 2024

Order Denying Reconsideration

U.S. Chamber coalition asks court to expand preliminary injunction against Noncompete Rule to protect businesses until a final ruling on the merits

July 10, 2024

Motion for Limited Reconsideration of the Scope of Preliminary Relief

U.S. Chamber wins preliminary injunction in lawsuit over FTC noncompete agreements ban

July 03, 2024

The court granted the Chamber's motion for a preliminary injunction against the FTC's blanket ban on noncompete agreements. This is an important win in our fight against government micromanagement of business decisions.

U.S. Chamber files reply brief in support of motion for stay of effective date and for preliminary injunction

June 12, 2024

Reply Brief

U.S. Chamber files motion for stay of effective date and for preliminary injunction

May 10, 2024

Brief

District court grants motion by U.S. Chamber and coalition of business groups to intervene in challenge to FTC Noncompete Rule

May 09, 2024

U.S. Chamber files coalition brief to intervene in company’s challenge to Federal Trade Commission’s Noncompete Rule, which bans noncompete agreements nationwide

May 08, 2024

The Chamber intervened in a coalition lawsuit against the Federal Trade Commission (FTC) after the agency voted to ban employer noncompete agreements. The FTC’s action sets a dangerous precedent for government micromanagement and will harm employees, employers, and the economy.

Jeffrey B. Wall and Judson O. Littleton of Sullivan & Cromwell LLP and Robert L. Sayles and Boyce Holleman of Bradley Arant Boult Cummings LLP served as outside counsel.

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