A Recent Ruling Overturning the FTC’s Ban on Non-compete Agreements: What It Means for Small Business Owners

September 9, 2024
  • A recent ruling by U.S. District Judge Ada Brown upheld the legality of non-compete agreements, blocking an FTC rule aimed at banning them.
  • Non-compete agreements prevent employees from working for competitors or starting their own businesses within a specified time and area after leaving a job, designed to protect sensitive business information.
  • FTC sought to ban these agreements in order to promote fair competition and empower employees to seek new job opportunities without fear of legal repercussions.
  • Business groups, including the U.S. Chamber of Commerce, oppose the ban on non-compete agreements, arguing they protect proprietary information, support small businesses' competitiveness, and promote workforce stability by reducing turnover.
  • Small business owners should ensure their non-compete clauses are reasonable and comply with legal standards while also focusing on building a strong company culture to retain talent.


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Recently, U.S. District Judge Ada Brown in Dallas blocked a Federal Trade Commission (FTC) rule aimed at banning non-compete agreements that employees typically sign. Judge Brown ruled that the FTC does not have the authority to eliminate practices it considers unfair competition through broad regulations. This decision follows a temporary ban imposed in July while she considered a challenge from the U.S. Chamber of Commerce, who wanted to invalidate the rule entirely. The FTC's regulation was supposed to take effect on September 4.


What is a non-compete agreement? 

Noncompete agreements are contracts that stop employees from working for competing companies or starting their own businesses within a certain time frame and geographic area after leaving their job. These agreements aim to protect sensitive business information and maintain a competitive edge, but they have faced criticism for limiting employee mobility and hindering wage growth.


The FTC's Justification for Banning Non-Compete Agreements

The Biden administration wanted to ban non-compete agreements as part of its broader effort to promote fair competition and enhance workers' rights in the job market. By restricting these agreements, the administration hoped to empower employees, giving them more freedom to pursue new job opportunities without the fear of legal repercussions from former employers. Moreover, the administration acknowledged that noncompete clauses can suppress wages and innovation, which may lead to slow economic growth. The goal was to create a more dynamic workforce, fostering competition and allowing workers to fully utilize their skills in a competitive economy.


Reasons for Business Groups' Lawsuits Against the Ban

Business groups, including the U.S. Chamber of Commerce, pushed back against the ban on non-compete agreements, arguing that these contracts are essential for protecting proprietary information and trade secrets. Many small businesses, which often operate with limited resources, depend on non-compete clauses to maintain their competitive edge and protect their investments in employee training. Additionally, employers argue that these agreements can promote stability in the workforce, preventing employees from leaving at the first offer and allowing companies to build knowledgeable teams without worrying about high turnover.


What Small Business Owners & Employers Need to Know

This ruling is significant for small business owners and employers. It reaffirms the legality of non-compete agreements, allowing them to enforce contracts that prevent employees from sharing proprietary information or directly competing for a certain time after their departure. However, it’s crucial for business owners to understand the legal details involved. Noncompete clauses need to be reasonable in terms of scope, duration, and geography to be enforceable. Small businesses should also stay informed about changes in workplace policies and ensure their practices comply with both federal and state laws, as regulations can differ greatly across regions.

While noncompete agreements can provide some protection, they shouldn’t be the only way to safeguard business interests. Employers should also focus on building a strong company culture and engaging employees to retain talent and reduce turnover. As the legal landscape continues to evolve, staying informed and compliant will be essential for small business owners facing this complex issue.



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The Leavenworth-Lansing Area Chamber of Commerce is a private non-profit organization that aims to support the growth and development of local businesses and our regional economy. We strive to create content that not only educates but also fosters a sense of connection and collaboration among our readers. Join us as we explore topics such as economic development, networking opportunities, upcoming events, and success stories from our vibrant community. Our resources provide insights, advice, and news that are relevant to business owners, entrepreneurs, and community members alike. The Chamber has been granted license to publish this content provided by Chamber Today, a service of ChamberThink Strategies LLC. 


By Kelly Dettmer August 31, 2026
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April 13, 2026
It’s getting to be that time of year again—the summer scramble for capable employees. Colleges are about to go on break. High schools will finish up soon thereafter, and eager summer employees are looking for jobs now. In the past, you probably posted a job, hired fast as fast as you could, and hoped for the best. But seasonal hiring doesn’t have to feel like a gamble. Done right, it can give you flexibility, protect your margins, and improve your customer experience. Done wrong, it creates more work than it solves. Here’s how to hire for summer without regretting it by July. Start With Demand, not Desperation Most seasonal hiring decisions are based on a vague feeling that “it’s going to get busy.” That’s not a strategy. Before you post a single job, look at last year’s numbers. When did traffic increase? Which days or hours were stretched thin? Where did service break down? Hiring should solve specific problems, not general anxiety. If Saturdays were your bottleneck, you don’t need more staff across the board. You need targeted coverage. When you hire with precision, you avoid overstaffing and protect your cash flow when business inevitably fluctuates. Hire for Flexibility, not Perfection It’s tempting to wait for the “ideal” candidate who can do everything. But in seasonal hiring, that mindset slows you down and limits your options. Instead, look for people who are adaptable, reliable, and willing to learn. A college student who can work varied shifts and pick up new tasks quickly may be more valuable than someone with years of experience who needs a rigid schedule. Summer business is unpredictable. Your team should be able to move with it. Flexibility also applies to how you structure roles. Instead of hiring for one narrow position, think in terms of coverage. Who can help at the front and jump in elsewhere when needed? That kind of cross-functionality is what keeps operations running smoothly when things get busy. Shorten the Learning Curve One of the biggest mistakes businesses make is assuming seasonal hires will “figure it out” or that the summer is short so why train them on everything. First, they won’t figure it out on their own or worse, they will… just not the way you would have preferred. Additionally, summer may be short but doing something wrong or a way your customers aren’t used to could cost you loyalty in the long run. If you want temporary employees to perform like permanent ones, you need to set them up for success quickly. That means simple, clear onboarding. Not a binder no one reads. Not a rushed walkthrough during a busy shift. Focus on the essentials. What do they absolutely need to know to do the job well in the first week? Create quick-reference guides, checklists, or short training videos. Pair new hires with someone who knows your standards and can model them in real time. The goal is speed with consistency. The faster they feel confident, the faster they become productive. Build a Team That Can Cover for Each Other Summer schedules are notoriously chaotic. Vacations, last-minute requests, and shifting availability can create constant gaps if your team isn’t structured well. This is where cross-training becomes invaluable. When employees understand more than one role, you gain flexibility without constantly adding headcount. It also reduces stress on your team. No one wants to feel like the entire operation depends on them showing up. Set the expectation early that everyone contributes to the bigger picture. When people understand how their role connects to others, they’re more willing to step in where needed. Don’t Ignore Your Core Team Here’s where a lot of businesses struggle in the first few weeks of summer. They focus so much on bringing in seasonal help that they forget about the people who keep things running year-round. Your core team is the anchor during busy seasons. If they feel overlooked, overworked, or responsible for “fixing” everything new hires don’t know, burnout isn’t far behind. Involve them in the process. Ask for input on where help is needed. Let them contribute to training. Recognize the extra effort they’re putting in. Thank them. Give them a gift card or extra day off to show your appreciation. A supported core team will elevate your seasonal staff. An exhausted one will jeopardize your business future and company culture. Think Beyond the Season Not every seasonal hire is temporary. Some of your best long-term employees will come from these short-term roles. Watch for the people who show up on time, take initiative, and connect well with customers. Those are the ones worth keeping in your pipeline. Even if you don’t have an immediate role, staying in touch gives you a head start the next time you need to hire. Seasonal hiring isn’t just about filling gaps. It’s an opportunity to build relationships and strengthen your future workforce. Use Your Chamber as a Hiring Advantage* If you’re trying to solve staffing challenges on your own, you’re doing too much. Your chamber is one of the most underused hiring tools you already have access to. Start with visibility. Many chambers offer job boards, newsletter features, and social media promotion that put your open roles directly in front of a local, engaged audience. These aren’t cold applicants scrolling job sites at midnight. These people are already connected to the business community. *Chamber Members are eligible to utilize our job board , Facebook group , and weekly newsletter to advertise job postings. These benefits are included in your membership. Priority listings are also available for additional cost; Builder-Level members and above receive complimentary listings. Questions: Office@LLchamber.com But the real value goes deeper than job postings. Chambers are constantly making introductions. That includes connections to local colleges, workforce programs , and training organizations. If you need seasonal help, part-time support, or even interns, those relationships can shorten your search dramatically. Instead of broadcasting your need into the void, you’re tapping into a network that already understands your local market. This is especially helpful when you need something more specific than “extra hands.” If your business requires certain skills, certifications, or experience, let the chamber know. Workforce development is a growing priority for many chambers, and they’re actively working to close gaps between what businesses need and what the local talent pipeline provides. That might look like partnerships with schools, targeted training programs, or initiatives designed to prepare people for in-demand roles in your area. But none of that works if businesses stay quiet about their needs. If you’re struggling to find qualified candidates, express it. If your industry has a skills gap, bring it forward. Chambers can’t build solutions in a vacuum, but they can be incredibly effective when they have clear direction from the business community. At the very least, you’ll get access to better candidates. At best, you help shape a workforce pipeline that works for your business long term. And that beats posting the same job ad three times and hoping the algorithm finally shows your listing. Sure, you can choose to do it like last year, just getting through the season. But while you’re doing the hiring work anyway, why not sure up your business’ future? Read More: Delegation Done Right: Free Yourself and Empower Your Team Hiring in a Tight Market: Your Local Playbook for Finding and Keeping Great People Simplify Seasonal Staffing Think Twice Before Hiring of Promoting "Brilliant Jerks" -------- Christina Metcalf is a writer and women’s speaker who believes in the power of story. She works with small businesses, chambers of commerce, and business professionals who want to make an impression and grow a loyal customer/member base. She is the author of The Glinda Principle, rediscovering the magic within. _______________________________________ Facebook: @metcalfwriting Instagram: @christinametcalfauthor LinkedIn: @christinametcalf5
March 23, 2026
It’s the middle of the night. Even the high achievers aren’t awake yet. But you are. Not because of a noise, but because of a number. Specifically, the number of your bank balance, and how it compares to the number required to pay your team this Friday. You aren’t alone. For small business owners, payroll isn’t just an expense; it’s someone’s mortgage payment. Their rent, their groceries, and their families depend on your ability to manage a spreadsheet. When the panic hits, swirling thoughts aren’t helpful. You need triage. You need the 2:00 AM Audit: a pragmatic, five-step checklist to shift you from paralysis to perception, and from perception to a plan. After all, worry isn’t action and that’s what you need. 1. Identify the Gap Panic makes mountains out of molehills. Wake up fully, turn on a dim light, and get the real numbers. Do not trust the "available balance" on your mobile app. It doesn't know about the three checks that haven’t cleared or the automatic SaaS deduction hitting tomorrow. Log into your actual accounting software or open your master spreadsheet. Calculate the precise amount needed for net payroll, plus payroll taxes. The Triage: What is the exact dollar amount of the shortfall? Knowing you are short $2,250 is manageable; knowing you are "short" is terrifying. 2. Isolate Incoming Cash (The "Real" Receivables). Now, look at who owes you money. Sort your accounts receivable by "Age." Triage: Ignore anyone in the "60+ days" column for tonight; they aren’t helping you by Friday. Focus only on the "Current" and "1-30 days" columns. Identify the two clients most likely to pay if given a gentle, human nudge. (Example: "Hi Jane, we are doing our end-of-month reconciliation. Any chance you could slip Invoice #104 into this week's payment run?") 3. Review Outgoing Cash (The "Can Wait" List). You cannot make money appear, but you can delay its departure. Review every expense scheduled between now and payroll day. Triage: Categorize them ruthlessly: Must Pay: Rent, utilities, essential raw materials. Can Wait: Software subscriptions that aren’t mission-critical, marketing spend, inventory that won't turn over for weeks, and—most importantly—your own owner’s draw. 4. Activate the "Last Resort" Emergency Valves. If the gap still exists after Triage #2 and #3, it's time to review your pre-approved safety nets. Triage: Check your business line of credit availability. This is exactly what it is for: smoothing out temporary cash flow valleys. If you do not have one, put "Apply for LOC" at the very top of next week’s to-do list. 5. Design the 8:00 AM Action Plan. The goal of the 2:00 AM Audit isn't to solve the problem at 2:00 AM. It's to stop the adrenaline loop so you can sleep. Write down the three things you will do at 8:00 AM: 1. Email/Call Client A regarding Invoice #X. 2. Log into the bank and defer payment to Vendor B. 3. If 1 & 2 fail by noon, draw $Y from the Line of Credit. How the Chamber of Commerce Can Help The Chamber of Commerce isn’t just for networking mixers and ribbon cuttings. We’re a powerful resilience engine for small business owners facing financial stress. If payroll anxiety is a recurring theme for you, the Chamber offers structural support to help move you from survival to stability. Financial Education and Triage Check for workshops (through the Chamber or partners like SBDC or SCORE) on cash flow management, anticipatory accounting, and fractional CFO services. These sessions are designed to teach you how to predict a payroll shortfall three months out, rather than three days out. Access to Capital and Lenders Through its network, the Chamber connects members with local banks, credit unions, and alternative lenders who specialize in small business needs. Chamber membership can give you a warmer introduction to loan officers who understand the local economic landscape and can help you secure that essential line of credit before you need it. Mentorship and Vetted Professionals Chambers provide access to mentorship programs (like SCORE) or a directory of vetted, reputable local CPAs and bookkeepers. Sometimes, the best way to solve payroll worry is to pay a professional to manage the daily cash, freeing you to focus on the strategy that generates it. Read More: The Hidden Cash Sitting In Your Business (And How to Find It) Money Management Tips for People Who Hate Money Management A Practical Guide to Funding Your Small Business with Business Loans and Beyond Small Business Administration - Manage Your Business Small Business Resource Round-up Check out these Chamber Businesses for: Financial Advisors & Accountants Payroll -------------- Christina Metcalf is a writer and women’s speaker who believes in the power of story. She works with small businesses, chambers of commerce, and business professionals who want to make an impression and grow a loyal customer/member base. She is the author of The Glinda Principle, rediscovering the magic within. _______________________________________ Facebook: @metcalfwriting Instagram: @christinametcalfauthor Substack: @christinametcalf LinkedIn: @christinametcalf5