Michigan Business Network

Chris Holman welcomes back Anthony M. Dalimonte, Attorney, Southfield, MI Foster Swift, serving a half dozen offices statewide. There were several things Chris was looking to find out from Anthony in this conversation: Tell us about the new FTC rule banning non-competes? · FTC voted April 23, 2024 3-2 to publish its final rule banning all non-compete agreements. · The rule states that non-compete agreements violate Section 5 of the FTC Act. All non-compete agreements signed after the effective date will be illegal and violate federal law. · FTC defines “non-compete clause” as a term or condition of employment that either “prohibits” a worker from, “penalizes” a worker for, or “functions to prevent” a worker from (A) seeking or accepting work in the United States with a different person where such work would begin after the conclusion of the employment that includes the term or condition; or (B) operating a business in the United States after the conclusion of the employment that includes the term or cond