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Congress Disapproves Non-Compete Clause Rule

This document is a Congressional proposal to overturn a new Federal Trade Commission (FTC) rule that aimed to ban non-compete clauses in employment contracts. If Congress approves this, the FTC rule will not take effect, meaning companies can continue to use such clauses, potentially limiting employees' ability to switch to similar jobs.
Key points
Congress seeks to block the FTC's ban on non-compete clauses.
If Congress's proposal passes, non-compete clauses will remain legal in employment agreements.
This means employees may still be restricted from working for competitors after leaving their current company.
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Expired
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Additional Information
Print number: 118_HJRES_186
Sponsor: Rep. Palmer, Gary J. [R-AL-6]
Process start date: 2024-07-11
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Summarized by: gemini-2.5-flash
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Federal Trade Commission entitled "Non-Compete Clause Rule".

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_HJRES_186.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2024-07-11.

What are the main provisions?

Key points include:

  • Congress seeks to block the FTC's ban on non-compete clauses.
  • If Congress's proposal passes, non-compete clauses will remain legal in employment agreements.
  • This means employees may still be restricted from working for competitors after leaving their current company.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Palmer, Gary J. [R-AL-6].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on the Judiciary.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-24.

CATEGORIES

Labor Courts and Law Economy