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The Federal Trade Commission isn’t the only government agency gunning for your company’s noncompetes.
Earlier this month, a National Labor Relations Board Administrative Law Judge ruled that a non-union employer violated the National Labor Relations Act by utilizing unlawful noncompete and nonsolicitation provisions in employment agreements.
During their employment and for 24 months after that, an employee who signed one of these agreements could not “either directly or indirectly for [themselves] or on behalf of others, solicit, encourage, or attempt to persuade any other employee of Employer to leave the employ of Employer.” That nonsolicitation covenant is pretty typical.
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