The U.S. Chamber of Commerce, the country’s largest business lobby, filed a lawsuit on Wednesday seeking to strike down a federal agency’s near-total ban on employers requiring workers to sign agreements not to join rivals or launch competing businesses.
The Chamber’s lawsuit in federal court in Tyler, Texas, alleges that the U.S. Federal Trade Commission lacks the power to adopt sweeping rules such as the ban on so-called noncompete agreements released on Tuesday, which is set to take effect in August.
Correct. But I’m sure their argument would be something to the effect that they wouldn’t reasonably be able to know what the former employee actuality disclosed to their competitor and would be even less likely to be able to prove it making the NDA unactionable and functionally useless in that case. That’s why they’d rather prevent you from working for the other company altogether to avoid that. Unfortunately for them, they’re just going to have to trust their former employees. Which probably also means they should treat them well so they’re not incentivized to fuck them over.