Last week, the Federal Trade Commission announced its ban on non-competition agreements, or "non-competes." Although the ban makes sense with employees, who we want to be able to demand physically and emotionally sage workplaces and find gainful employment after separating from an incompatible employer, it includes independent contractors, which I think is a mistake.
A true independent contractor is an independent business with multiple contracts to perform their services. Or at least the potential to do so. They are business owners, and the businesses that hire them are their CLIENTS. The power imbalance is not the same as between employer and employee, as I wrote about recently on the Third Ear Conflict Resolution website: thirdearcr.com....
We have a long history of upholding business-to-business agreements, as long as they are not grossly unfair. The FTC appears to be overreaching here, which will probably hurt small businesses most.
Need to check your worker classifications or employment documents (e.g., offer letters, NDAs, EMPLOYMENT contracts, employee handbooks, severance agreements, etc.? Schedule a consultation: calendly.com/d...
For more on the FTC Ban: www.ftc.gov/ne...
6 сен 2024