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The FTC Kills Noncompetes
FEATURED
April 30, 2024
The FTC Kills Noncompetes
By: George Calhoun
In a groundbreaking move that will reshape the workplace and many litigation practices nationwide, the FTC has issued a final rule that effectively bans all employee non-compete clauses. Approximately 30 million Americans currently work under a non-compete clause. All but a few applicable to senior executives will be void upon the effective date of the rule. After the rule is effective, no new non-compete clauses will be enforceable, even for senior executives. Noncompetition clauses have long been a contentious issue in the labor market. Employers claim that they protect intellectual property, trade secrets, and business interests. Employees find that such agreements limit worker mobility and suppress wages. According to FTC chairperson Lina Khan, “Noncompete clauses keep wages low, suppress new…
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Ad-Tech Europe: The Moving Target Marking Targeted Advertising
April 26, 2024
Ad-Tech Europe: The Moving Target Marking Targeted Advertising
By: Nicole Kardell
The European Data Protection Board (“EDPB”) recently published an opinion on the legality of pay-or-consent models for online platforms offering services in Europe. While the opinion is non-binding and limited to “large online platforms[1],” companies that offer platforms large and small in Europe should pay attention to the EDPB’s analysis—it will inform their future guidance for entities large and small. The upshot: Pay-or-consent models [for…
Social Media Networks’ Section 230 Immunity on the Chopping Block? New York Court Allows Claims to Proceed Stemming from Buffalo Shooting
April 1, 2024
Social Media Networks’ Section 230 Immunity on the Chopping Block? New York Court Allows Claims to Proceed Stemming from Buffalo Shooting
By: Michelle Cohen
Since 1996, Internet platforms and social media companies have relied on a federal law, Section 230 of the Communications Decency Act, to protect them from liability for civil law claims stemming from content on their platforms. As the influence of platforms like Facebook, Twitter (now X), and others has grown, members of Congress, consumer groups, and other stakeholders have urged Congress to restrict or repeal…
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
October 14, 2021
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
By: Michelle Cohen
Does your company or its affiliate advertisers use celebrities or influencers to market your services? Do you use customer reviews to promote your offerings? The Federal Trade Commission (“FTC”), energized by new Chairperson Lina Khan, just sent out notices to over 700 companies – including many household names (https://www.ftc.gov/system/files/attachments/penalty-offenses-concerning-endorsements/list-recipients-endorsement-notice.pdf) warning them about using fake reviews and other misleading endorsements in advertising their products and services….
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
July 12, 2021
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
By: Ifrah Law
Last October, we reported on the Third Circuit Court of Appeals’ decision in Federal Trade Commission v. AbbVie, Inc., in which the appeals court overturned a trial court’s decision ordering $448 million in disgorgement pursuant to Section 13(b) of the Federal Trade Commission (“FTC”) Act against a group of businesses accused of trying to monopolize and restrain trade over a patented drug called AndroGel. At…
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
October 2, 2020
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
By: Ifrah Law
As previously reported in this space, the Supreme Court is scheduled to hear argument in its upcoming term regarding whether the Federal Trade Commission was authorized to seek monetary relief such as disgorgement or restitution under Section 13(b) of the FTC Act. These cases do not just call into question the availability of a certain remedy; they may also have far-reaching impacts on the FTC’s…
SEC “Kiks” Another Goal In Ongoing Fight Against Cryptocurrencies
October 1, 2020
SEC “Kiks” Another Goal In Ongoing Fight Against Cryptocurrencies
By: Ifrah Law
In the latest blow to businesses seeking to offer digital tokens or cryptocurrencies to consumers, the United States District Court for the Southern District of New York ruled on Wednesday that Kik Interactive Inc.’s offering of its Kin digital token violated Section 5 of the federal Securities Act, granting summary judgment to the Securities and Exchange Commission in its lawsuit against Kik. Kik operates an…
Civil or Criminal Liability: Charging A Payment Processing Case by Coin Toss?
August 17, 2020
Civil or Criminal Liability: Charging A Payment Processing Case by Coin Toss?
By: James Trusty
In the eyes of federal investigators, when is a payment processor considered a benevolent alternative to traditional banks, and when is it viewed as a shady facilitator of all things criminal? In other words, is the client another Paypal or Venmo, or are we looking at a potential WireCard AG prosecution? We have noticed in recent cases that prosecutors are across the board in their…
