David Pardue was quoted in IAM about the Federal Trade Commission's ban on noncompetes. 

"We foresee much uncertainty and turbulence in the near future," David told the publication. Trade secret litigants are expected to find noncompetes unenforceable in pending cases, David said he fears.

"Judges may make conflicting decisions in different jurisdictions while this is (being) sorted out," he said. 

Even while legal challenges play out regarding the rule, companies should be taking action, David told the publication.

"Companies really should take a look at their restrictive covenants, especially those unaffected by the new rule, such as confidentiality agreements and non-solicitation of customers clauses to ensure their agreements effectuate the company's goals and protect their business," David said. 

Subscribers can read the full article here: US FTC Votes Through Noncompete Clause Ban Spelling Uncertainty for Trade Secret Strategy

You can read a client alert David co-authored with his colleagues on the noncompete rule by clicking here. 

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