Client Alert: Philadelphia Judge Breaks from Dallas Judge and Declines to Stay Non-Compete Rule
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On July 23, 2024, federal Judge Kelley Brisbon Hodge of the Eastern District of Pennsylvania denied a motion to preliminarily enjoin the Federal Trade Commission’s (“FTC”) rule prohibiting nearly all non‑compete clauses in employment contracts nationwide. ATS Tree Services, LLC v. FTC, No. 24‑CV‑1743 (E.D. Pa.). This decision stands in opposition to a decision by Judge Ada Brown of the Northern District of Texas on July 3, preliminarily enjoining the same FTC rule as to the parties before her. Ryan LLC v. FTC, No. 24‑CV‑986 (N.D. Tex.).
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