Chair Brown on FTC’s Plan to Appeal Noncompete Ban: This Is To Protect Lina Khan’s Legacy

WASHINGTON – Following reports the FTC is planning to appeal the court’s decision to overturn the agency’s overreaching and punitive total ban on non-compete agreements, Competitiveness Coalition Chair Scott Brown released the following statement:

“One has to wonder if the FTC’s foolhardy plan to appeal this widely-panned rule is to protect Lina Khan’s image with the left, given her uncertain future,” said Brown, a former U.S. Senator and Ambassador. “Not only does the ban wildly overstep the agency’s authority, but it is also bad policy that will hurt, not help workers. Taxpayer dollars shouldn’t be wasted on Khan’s hopeless appeal. A blanket ban on non-competes would make America’s most important economic engines more susceptible to corporate or international espionage if they are unable to ensure that their information will not end up in the wrong hands.”

Passed in a 3-2 party line vote this spring, the FTC’s rule banning businesses nationwide from including non-compete agreements in an employee’s contract has received push back from companies, lawmakers and even the left-leaning Washington Post editorial board, which noted “the FTC might not actually have the legal authority to enact any rule in this area.”

Members of the press can contact the coalition at press@competitivenesscoalition.com.

###

The Competitiveness Coalition is a first-of-its-kind group educating the public and advocating for policies that put consumers first while fostering innovation and attracting new investment.