Federal Judge Stops FTC Noncompete Ban

A Texas federal judge granted a preliminary injunction against the FTC's ban on noncompete clauses in employment agreements, siding with plaintiffs like Ryan LLC and the U.S. Chamber of Commerce. The ruling halts the FTC's rule from taking effect, stating the FTC lacks substantive rulemaking authority for such bans. The decision is seen as a win against government overreach, with the FTC defending its authority despite the court's ruling. This legal battle is part of a larger challenge to the FTC's Non-Compete Rule, highlighting the ongoing debate over the agency's regulatory powers and the impact on businesses and workers nationwide.