Becker's Healthcare February 12, 2025
The American Hospital Association and Federation of American Hospitals on Feb. 11 filed a friend-of-the-court brief urging an appellate court to vacate nationwide the Federal Trade Commission’s noncompete rule.
A Texas federal judge in August issued a nationwide injunction blocking the implementation of the FTC’s noncompete ban, which would have invalidated tens of millions of existing noncompete agreements and prohibited employers from entering into or attempting to enforce any new noncompetes.
“The commission’s treatment of the hospital labor market underscores why the final rule was not supported by relevant evidence, lacked a reasonable explanation and did not consider proffered alternatives,” the hospital groups wrote in their friend-of-the-court brief. “Both the AHA and FAH explained to the commission that the rule...