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Showing archive for:  “FTC Act”

Artificial Intelligence Meets Organic Folly

In a May 3 op-ed in The New York Times, Federal Trade Commission (FTC) Chair Lina Khan declares that “We Must Regulate A.I. Here’s How.” I’m concerned after reading it that I missed both the regulatory issue and the “here’s how” part, although she does tell us that “enforcers and regulators must be vigilant.” Indeed, ... Artificial Intelligence Meets Organic Folly

Biweekly FTC Roundup: But Wait, There’s More Edition

More, and not just about noncompetes, but first, yes (mea culpa/s’lach lanu), more about noncompetes. Yesterday on Truth on the Market, I provided an overview of comments filed by the International Center for Law & Economics on the Federal Trade Commission’s (FTC) proposed noncompete rule. In addition to ICLE’s Geoffrey Manne, Dirk Auer, Brian Albrecht, Gus Hurwitz, and ... Biweekly FTC Roundup: But Wait, There’s More Edition

The FTC’s Noncompete Rule: A Bridge Too Far

As I noted in January, the Federal Trade Commission’s (FTC) proposal to ban nearly all noncompete agreements raises many questions. To be sure, there are contexts—perhaps many contexts—in which noncompete agreements raise legitimate policy concerns. But there also are contexts in which they can serve a useful procompetitive function. A per se ban across all industries and occupations, as the ... The FTC’s Noncompete Rule: A Bridge Too Far

Is the FTC Threatening Efficient Franchise Relationships?

Franchising plays a key role in promoting American job creation and economic growth. As explained in Forbes (hyperlinks omitted): Franchising as a business institution is oriented toward reducing economic inefficiencies in commercial relationships. Specifically, economic analysis reveals that it is a potential means for dealing with opportunism and cabining transaction costs in vertical-distribution contracts. In ... Is the FTC Threatening Efficient Franchise Relationships?

Biweekly FTC Roundup: Total Drama Island Edition

In a Feb. 14 column in the Wall Street Journal, Commissioner Christine Wilson announced her intent to resign her position on the Federal Trade Commission (FTC). For those curious to know why, she beat you to the punch in the title and subtitle of her column: “Why I’m Resigning as an FTC Commissioner: Lina Khan’s ... Biweekly FTC Roundup: Total Drama Island Edition

No, Chevron Deference Will Not Save the FTC’s Noncompete Ban

The Federal Trade Commission (FTC) announced in a notice of proposed rulemaking (NPRM) last month that it intends to ban most noncompete agreements. Is that a good idea? As a matter of policy, the question is debatable. So far as the NPRM is concerned, however, that debate is largely hypothetical. It is unlikely that any ... No, Chevron Deference Will Not Save the FTC’s Noncompete Ban

7 Top Takeaways from the 2nd Annual Mercatus Antitrust Forum

At the Jan. 26 Policy in Transition forum—the Mercatus Center at George Mason University’s second annual antitrust forum—various former and current antitrust practitioners, scholars, judges, and agency officials held forth on the near-term prospects for the neo-Brandeisian experiment undertaken in recent years by both the Federal Trade Commission (FTC) and the U.S. Justice Department (DOJ). ... 7 Top Takeaways from the 2nd Annual Mercatus Antitrust Forum

Biweekly FTC Roundup: A Guide for the Perplexed Edition

In a prior post, I made the important if wholly unoriginal point that the Federal Trade Commission’s (FTC) recent policy statement regarding unfair methods of competition (UMC)—perhaps a form of “soft law”—has neither legal force nor precedential value. Gus Hurwitz offers a more thorough discussion of the issue here.  But policy statements may still have ... Biweekly FTC Roundup: A Guide for the Perplexed Edition

Biweekly FTC Roundup: Highly Skilled Sandwich Maker Edition

Happy New Year? Right, Happy New Year!  The big news from the Federal Trade Commission (FTC) is all about noncompetes. From what were once the realms of labor and contract law, noncompetes are terms in employment contracts that limit in various ways the ability of an employee to work at a competing firm after separation ... Biweekly FTC Roundup: Highly Skilled Sandwich Maker Edition

The FTC’s NPRM on Noncompete Clauses: Flirting with Institutional Crisis

The Federal Trade Commission’s (FTC) Jan. 5 “Notice of Proposed Rulemaking on Non-Compete Clauses” (NPRMNCC) is the first substantive FTC Act Section 6(g) “unfair methods of competition” rulemaking initiative following the release of the FTC’s November 2022 Section 5 Unfair Methods of Competition Policy Statement. Any final rule based on the NPRMNCC stands virtually no ... The FTC’s NPRM on Noncompete Clauses: Flirting with Institutional Crisis

FTC Proposes Rule Deeming Non-Compete Clauses to be Unfair Methods of Competition

On Jan. 5, 2023, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking (NPRM) to prohibit employers from entering non-compete clauses with workers.[1] The proposed rule would extend to all workers, whether paid or unpaid, and would require companies to rescind existing non-compete agreements within 180 days of publication of the final rule.[2] ... FTC Proposes Rule Deeming Non-Compete Clauses to be Unfair Methods of Competition

The FTC’s UMC Statement Creates a Target for Federal Courts

The Federal Trade Commission’s (FTC) recently released Policy Statement on unfair methods of competition (UMC) has a number of profound problems, which I will detail below. But first, some praise: if the FTC does indeed plan to bring many lawsuits challenging conduct as a standalone UMC (I am dubious it will), then the public ought ... The FTC’s UMC Statement Creates a Target for Federal Courts