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How does the FTC have the authority to do this - Non Compete ?

Posted on 4/24/24 at 6:44 am
Posted by dafif
Member since Jan 2019
5566 posts
Posted on 4/24/24 at 6:44 am
LINK

quote:

FTC Announces Rule Banning Noncompetes


quote:

“The FTC’s final rule to ban noncompetes will ensure Americans have the freedom to pursue a new job, start a new business, or bring a new idea to market.”


quote:

nder the FTC’s new rule, existing noncompetes for the vast majority of workers will no longer be enforceable after the rule’s effective date. Existing noncompetes for senior executives - who represent less than 0.75% of workers - can remain in force under the FTC’s final rule, but employers are banned from entering into or attempting to enforce any new noncompetes, even if they involve senior executives.


How does the fed gov have the authority to change Florida contract law (for example) ?
Posted by Damone
FoCo
Member since Aug 2016
32735 posts
Posted on 4/24/24 at 6:49 am to
Do these companies engage in interstate commerce? Do they benefit from corporate/LLC taxation at the federal level?

Also, why would states want to infringe on individual freedom?
Posted by msutiger
Shreveport
Member since Jul 2008
69616 posts
Posted on 4/24/24 at 6:52 am to
I think this is wonderful. Corporations have enough power.

Non-competes outside of select scenarios with executive leadership are horseshite.
Posted by CleverUserName
Member since Oct 2016
12615 posts
Posted on 4/24/24 at 6:56 am to
quote:

Do they benefit from corporate/LLC taxation at the federal level?


We already know you are a fool. Please. You don’t have to keep convincing us.
Posted by Faurot fodder
Member since Jul 2019
2302 posts
Posted on 4/24/24 at 6:56 am to
Arkansas football has been on a non-compete for years.
Posted by SG_Geaux
Beautiful St George
Member since Aug 2004
77965 posts
Posted on 4/24/24 at 6:57 am to
If college athletes can transfer whenever and play wherever immediately then why not this?
Posted by LSUSUPERSTAR
TX
Member since Jan 2005
16311 posts
Posted on 4/24/24 at 7:08 am to
Most non-competes aren't enforceable anyway. People/Companies use them as a scare tactic.
Posted by momentoftruth87
Member since Oct 2013
71421 posts
Posted on 4/24/24 at 7:10 am to
Yep just like mizzou basketball
Posted by dafif
Member since Jan 2019
5566 posts
Posted on 4/24/24 at 7:10 am to
quote:

Do these companies engage in interstate commerce?


Depends on your definition of interstate commerce? Do they order supplies off Amazon?

Didn't SCOTUS just determine that rule making authority has gone too far?

And...again, what gives the feds the ability to change Florida law ... for example??
This post was edited on 4/24/24 at 7:12 am
Posted by Diamondawg
Mississippi
Member since Oct 2006
32240 posts
Posted on 4/24/24 at 7:16 am to
quote:

If college athletes can transfer whenever and play wherever immediately then why not this?
Not the point. Change the laws if that's what is needed. FTC should not and likely does not have the authority to do this.
Posted by TerryDawg03
The Deep South
Member since Dec 2012
15708 posts
Posted on 4/24/24 at 7:18 am to
quote:

How does the FTC have the authority to do this - Non Compete ?


It doesn’t. Like a lot of other Biden crap, this will end up at SCOTUS. One executive agency can’t change contract law.
Posted by Gaston
Dirty Coast
Member since Aug 2008
38971 posts
Posted on 4/24/24 at 7:19 am to
Pretty crazy. I studied with a friend at LSU, he went on to Cornell for grad school then to IBM in Burlington. He works on the next generation battlefield, all controlled through satellite connectivity for the US military…the driverless car world stuff…his non compete is 10 years. If he can just go start a company with US government secret technology then I’m calling him today.
This post was edited on 4/24/24 at 7:21 am
Posted by udtiger
Over your left shoulder
Member since Nov 2006
98745 posts
Posted on 4/24/24 at 7:21 am to
They don't.
Posted by HubbaBubba
F_uck Joe Biden, TX
Member since Oct 2010
45752 posts
Posted on 4/24/24 at 7:24 am to
Once the SCOTUS rules on Loper Bright Enterprises v. Raimondo and ditches the Chevron Rule, this agency and others will not be able to try this.
Posted by coolpapaboze
Parts Unknown
Member since Dec 2006
15805 posts
Posted on 4/24/24 at 7:31 am to
I'm no lawyer, but the current strategy on the left seems to be use executive action/regulatory agency power to make some ruling that is probably illegal/unconstitutional, and force the right to litigate it, which likely will take years. In the interim all kinds of damage is done that in many cases can't or won't be undone. Biden's student loan transfer is a great example of this and this is likely another.
Posted by SlowFlowPro
Simple Solutions to Complex Probs
Member since Jan 2004
422428 posts
Posted on 4/24/24 at 7:36 am to
quote:

And...again, what gives the feds the ability to change Florida law ... for example??

I haven't read the rule, and I won't since the last time I just got Neanderthal responses, but there will be cited Congressional authority. So whatever that law is, is the answer to your question.

All regulations must flow from Congressional delegation of power.
Posted by SlowFlowPro
Simple Solutions to Complex Probs
Member since Jan 2004
422428 posts
Posted on 4/24/24 at 7:37 am to
quote:

I'm no lawyer, but the current strategy on the left seems to be use executive action/regulatory agency power to make some ruling that is probably illegal/unconstitutional, and force the right to litigate it, which likely will take years. In the interim all kinds of damage is done that in many cases can't or won't be undone. Biden's student loan transfer is a great example of this and this is likely another.

This isn't a partisan thing. Plenty of Republican regulations/EOs were litigated and struck down, too.
Posted by SlowFlowPro
Simple Solutions to Complex Probs
Member since Jan 2004
422428 posts
Posted on 4/24/24 at 7:38 am to
quote:

Once the SCOTUS rules on Loper Bright Enterprises v. Raimondo and ditches the Chevron Rule, this agency and others will not be able to try this.

I don't think this particular regulation relies on Chevron.
Posted by McLemore
Member since Dec 2003
31495 posts
Posted on 4/24/24 at 7:39 am to
quote:

Do these companies engage in interstate commerce? Do they benefit from corporate/LLC taxation at the federal level? Also, why would states want to infringe on individual freedom?


You should work for the politburo. Although I can make their arguments much better than you apparently can.
Posted by Indefatigable
Member since Jan 2019
26207 posts
Posted on 4/24/24 at 7:44 am to
quote:

Do these companies engage in interstate commerce?

Ah, yes. The "everything imaginable is interstate commerce so therefore administrative agencies can do whatever they want" argument.

If the federal government wants to regulate state contract law, Congress needs to do it, or authorize the FTC to do it. Congress has not done so.

quote:

Also, why would states want to infringe on individual freedom?

The "why" doesn't matter. Contract law and policy is the States' prerogative.
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