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On April 23, 2024, the U.S. Federal Trade Commission ("FTC") released its final rule banning most non-compete agreements between workers and employers (the "Final Rule"). The effective date of the Final Rule is 120 days after its publication in the Federal Register. Legal challenges related to the Final Rule are already underway and could delay the effective date or enjoin the enforcement of the Final Rule.
On January 10, 2024, the U.S. Department of Labor (the "DOL") published its long-awaited final rule (the "Final Rule") for determining who is an employee versus independent contractor under the Fair Labor Standards Act (the "FLSA").
On December 22, 2023, New York Governor Kathy Hochul vetoed a bill (A01278) that would have resulted in New York joining a small group of states with outright bans on non-competes (i.e., California, Colorado, Minnesota, North Dakota and Oklahoma). The bill, passed by the New York State Legislature in June 2023, would have prohibited most new non-compete agreements between employers and employees (and other service providers) in New York State.
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