Sarah Tishler was recently quoted in an article about the Federal Trade Commission’s new rule banning noncompete agreements.

The article, titled “FTC’s Noncompete Ban a Blow to Asset Managers,” appeared in Ignites, a service from the Financial Times.

he article discusses the FTC’s issuance of a proposed final rule restricting noncompete agreements nationwide for most workers, as well as efforts by several entities to stop implementation of the rule through various lawsuits.

In the article, Sarah discusses the impact of restricting noncompete employment agreements as follows:

Noncompetes are “part of the normal set of options” available to a fund firm to protect proprietary information when an employee leaves, and they are especially relevant for the departure of “relationship-centric” employees, said Sarah Tishler, an attorney at Beck Reed Riden who is not related to the suits.

“If noncompetes are truly off the table, the likely outcome is an increase in the amount of trade secret litigation when fund employees go to a competitor,” Tishler said. “Without noncompetes, I think it is likely that there will be a lot of thought given to incentivizing top performers to stay, to avoid any temptation to jump to a competitor firm.”

The April 26, 2024, was written by Sabrina Kharrazi.

Sarah Tishler is a commercial litigator whose practice focuses on complex business disputes in state and federal courts, including intellectual property, breach of contract, and fraud claims.

eck Reed Riden LLP is among the leading authorities in trade secret, noncompete, and unfair competition law, and our experience handling these matters is backed by our extensive employment law and business litigation experience. Our hand-picked team combines attorneys with complementary expertise and practical experience.

The Wall Street Journal featured Beck Reed Riden LLP’s noncompete agreement experience. In 2016, the White House issued a report entitled, “Non-Compete Agreements: Analysis of the Usage, Potential Issues, and State Responses,” relying in part on Beck Reed Riden LLP’s research and analysis, including its 50 State Noncompete Survey.

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