Stephen Larson Examines Court Challenges to the FTC’s Noncompete Rule in AIPLA Publication

In a recent article for the American Intellectual Property Law Association (AIPLA)’s publication Antitrust News, partner Stephen Larson offers insight into initial court challenges to the Federal Trade Commission’s (FTC’s) new rule banning most noncompete agreements.

Mr. Larson, who serves as vice chair of the AIPLA Antitrust Committee, examines the mixed outcomes of three separate district court challenges to the FTC’s rule.  He concludes that the decisions suggest that the FTC has some relevant substantive rulemaking authority, “but the FTC’s noncompete rule is too broad in scope and impact.”

Mr. Larson notes that a “final decision invalidating the FTC’s noncompete rule may be welcome news to companies that invest in and rely heavily on confidential information and intellectual property, including trade secrets.”

Read the full article here.