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Antitrust & Trade Reg.,
Contracts

Jan. 6, 2023

FTC proposes national ban on noncompete clauses

While California already bans noncompete clauses, employment plaintiffs’ lawyers say proposed FTC rule might still bring change.

If the Federal Trade Commission’s proposed ban on noncompete clauses in employment contracts is adopted, California will be joined by the rest of the country in disallowing contracts that prevent workers from seeking employment with competitors after they leave their jobs.

Employment plaintiffs’ attorneys in the state hailed the proposed rule Thursday as a potential end to a practice.

“I do believe that the elimi...

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