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Arby’s, Carl’s Jr. No-Poach Cases Reveal State, Federal Clash (1)

March 8, 2019, 11:31 AMUpdated: March 8, 2019, 4:42 PM

State and federal antitrust enforcers are squaring off in Washington state over whether employee no-poaching agreements among fast-food chain operators are anti-competitive.

In a rare move, Washington State Attorney General Robert Ferguson March 1 said he opposes the Justice Department on the issue, arguing that such agreements among restaurant franchisees are always anti-competitive. The DOJ, under antitrust chief Makan Delrahim, said March 7 that such agreements can have some pro-competitive benefits and courts should weigh those justifications.

The stark divide between the federal government and the chief law enforcer of the state where the no-poaching legal fight is...

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