The Federal Trade Commission (FTC), earler this week, finalized a rule that restricts employers from enforcing noncompete agreements on their employees. This decision, however, was reached with a noticeable divide, as a 3-2 vote barely steered the controversial regulation into effect.
Ryan, a global tax services titan, was quick to challenge the new rule by lodging a lawsuit in a Texas federal court. Their argument stated that the FTC’s action was a bold departure from its delineated statutory authorizations.
It was not only Ryan that responded quickly to the new rule: The U.S. Chamber of Commerce also revealed plans to challenge the FTC’s decision with a lawsuit, just hours after the 3-2 vote took place.
Additional details, as well as the latest developments and reactions to this significant ruling, can be found on law.com.