Bloomberg Law
Free Newsletter Sign Up
Login
BROWSE
Bloomberg Law
Welcome
Login
Advanced Search Go
Free Newsletter Sign Up

Chamber Vows to Sue FTC Over Non-Compete Ban If Rule Goes Ahead

Jan. 12, 2023, 10:21 PM

The US Chamber of Commerce is opening another front against the Federal Trade Commission, threatening to sue the agency if it goes ahead with its recently proposed ban on non-compete agreements.

Chamber President and Chief Executive Suzanne Clark told reporters Thursday that the FTC is overstepping its statutory authority by seeking to prevent companies from enforcing non-compete clauses in employee contracts.

The FTC last week proposed a regulation prohibiting employers from entering into or enforcing such non-compete clauses with employees or independent contractors, saying that such agreements limit innovation and suppress wages.

“If this rule goes forward, we will ...