On April 23, 2024, the Federal Trade Commission banned all noncompete agreements nationwide. This was a setback for WLF, which filed a formal comment urging the FTC to abandon the proposal. WLF’s comment detailed how banning non-competes violates the fundamental right to contract. The comment also showed how banning non-competes violates the major-questions doctrine. Congress did not give the FTC power to issue such an important rule affecting 30 million Americans through vague language. Finally, WLF’s comment explained that banning non-competes jeopardizes the American dream by preventing low-skill workers from getting on-the-job training.
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