Cross-border employers should be cautious with non-competes even with block on FTC ban, lawyers say
As the future of a broad U.S. ban on non-competes remains uncertain, lawyers are advising Canadian companies with cross-border operations to be sparing with such restrictions on employee conduct – even in cases where they’re still legal.
The U.S. Federal Trade Commission voted in April to enact a nationwide rule on non-compete agreements. However, a federal judge in Texas recently ruled the FTC did not have the authority to enact the ban.
George Eydt, Hodgson Russ’s Toronto office managing partner and Canada-U.S. Cross-Border Practice leader, spoke with Canadian Lawyer magazine about what the legal battle means for Canadian companies and their employees.
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- Toronto Office Managing Partner