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What Happened to the FTC Noncompete Ban?

Posted by Aaron R. Resnick | Apr 27, 2024 | 0 Comments

Updated October 2026.

The FTC's 2024 ban on non-compete agreements never took effect. A federal court set the rule aside on August 20, 2024, and the FTC removed it from the Code of Federal Regulations on February 12, 2026. Florida law governs a Florida non-compete. Miami business attorney Aaron Resnick of Law Offices of Aaron Resnick advises companies and employees on those agreements.

Miami business attorney Aaron Resnick
Miami business attorney Aaron Resnick, founder of Law Offices of Aaron Resnick.

What Did the 2024 Rule Say?

On April 23, 2024, the Federal Trade Commission voted 3 to 2 to issue a rule that would have barred most new non-compete agreements nationwide. The rule was published with an effective date of September 4, 2024. It never reached that date. Law Offices of Aaron Resnick reported the rule here in April 2024, as it was issued.

Why Did the FTC Non-Compete Ban Never Take Effect?

On August 20, 2024, the U.S. District Court for the Northern District of Texas set the rule aside in Ryan, LLC v. FTC, 15 days before its effective date. On September 5, 2025, the FTC took steps to dismiss its appeals and accept that ruling. On February 12, 2026, the FTC removed the rule from the Code of Federal Regulations.

The FTC's own page for the 2024 announcement now states that the rule is not in effect and is not enforceable. Aaron Resnick's current guidance is on the firm's page Are Non-Compete Agreements Enforceable in Florida?

What Governs a Florida Non-Compete Now?

Florida law does. A Florida court decides whether to enforce a non-compete under chapter 542 of the Florida Statutes, and since August 15, 2025, the CHOICE Act has provided a separate framework for covered employees whose salary exceeds twice the county's annual mean wage. Aaron Resnick explains both on the firm's page Are Non-Compete Agreements Enforceable in Florida?

Can the FTC Still Act Against a Non-Compete?

Yes. The rule is gone, but the FTC has said it will still bring enforcement actions against specific non-competes it considers anticompetitive. A company that uses non-competes across a large workforce should have them reviewed for that reason, and Aaron Resnick reads them against Florida law at the same time.

What Should a Miami Business Do With Its Existing Agreements?

Do not treat them as void because of the 2024 rule; it never took effect. Bring every agreement with a non-compete clause, the job titles and pay of the people who signed, the dates they signed and any notice the company sent in 2024 about the FTC rule. Aaron Resnick reviews them together against Florida law.

Send the parties, the problem and the next date; the firm reviews every inquiry and tells you whether it can help.

We Don't Make Promises. We Have Results to Prove It.

Aaron Resnick has handled business disputes in Miami since 1998 and is a fourth generation Miami attorney. He works hands-on on every case; the client gets Aaron on every major litigation issue, not a junior partner. The Law Offices of Aaron Resnick represents large corporations, Miami businesses and their owners, professional athletes and entertainers in Miami Dade, Broward and Palm Beach counties and across Florida in business litigation and business counsel. Call 305-672-7495 or request a consultation.

This page provides general information and is not legal advice. Prior results do not guarantee or predict a similar outcome.

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About the Author

Headshot of Aaron Resnick
Aaron R. Resnick

Aaron Resnick is a Miami business attorney who founded the Law Offices of Aaron Resnick in 2005. He is a past president of the Miami Beach Bar Association and has been selected to Super Lawyers every year since 2013.

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