The Federal Trade Commission’s Final Rule Bans Most Non-Competes
Written by Patricia Collins
On April 23, 2023, the Federal Trade Commission (“FTC”) issued a final rule imposing a broad restriction on non-competition agreements (“Final Rule”). The Final Rule requires employers to rescind existing non-compete agreements and would preempt conflicting state laws. The Final Rule is effective 120 days from its publication in the Final Register.
The Final Rule defines “non-compete clauses” as follows: any agreement that prevents a worker from, or penalizes a worker for, seeking or attempting to seek employment with any employer after the termination of their current employment.
The Final Rule mandates that it is a prohibited unfair method of competition to enter into or “attempt to enter into” a non-compete clause with an employee, or to enforce an existing non-compete agreement, or to represent to an employee that they are subject to a non-compete without a good faith basis to believe they are.
Accordingly, the Final Rule not only requires employers not to enter into or “attempt to enter into” employee non-compete agreements, it also requires employers to rescind their existing non-compete agreements, and then notify the current and former employees that the non-compete is rescinded within forty-five days of the rescission. The Final Rule provides a form for the notice of rescission. The obligation to rescind existing non-compete clauses does not apply to where a cause of action related to a non-compete clause accrued prior to the effective date.
Antheil Maslow & MacMinn, LLP is pleased to announce that Stephen M. Zaffuto has joined our Business & Finance and Real Estate practice groups. Stephen advises businesses on all aspects of corporate and commercial transactions including formation, mergers and acquisitions, financing, joint ventures, commercial agreements, real estate transactions, and business succession planning. He has worked closely with corporate clients across a broad spectrum of industries, including real estate developers, investors, financial institutions, technology companies, construction companies, non-profit organizations, start-ups, and small businesses of all kinds.
In his real estate practice, Stephen has a wealth of experience handling real estate transactions, including negotiating sales of commercial and industrial real estate and negotiating commercial real estate leases for clients across industries for a wide variety of uses including professional office, manufacturing and warehouse, healthcare, and restaurants. He has obtained substantial tax savings for residential, commercial, and industrial clients in tax assessment appeals, and successfully obtained property tax exemptions for non-profit organization and religious institution clients. He is also experienced in counseling and representing clients in zoning and land use matters and has extensive experience in obtaining zoning relief and subdivision and land development approvals from municipalities throughout Bucks County and Montgomery County.
Stephen earned his law degree from Temple University, Beasley School of Law, and is a graduate of Pennsylvania State University where he earned a Bachelor of Arts in English and Italian.
To learn more about Stephen Zaffuto, visit his attorney profile.
Antheil Maslow & MacMinn, LLP is a full-service law firm located in Doylestown, PA. At AMM, we pride ourselves on developing deep relationships with our clients by taking time to understand their goals in order to provide responsive, practical legal advice and aggressive advocacy.
Associate
215-230-7500, ext. 163
szaffuto@ammlaw.com
CONTACT CARDPractice Groups
- Business & Finance
- Real Estate
Education
- Temple University, Beasley School of Law, Juris Doctor, 2011
- Pennsylvania State University, Bachelor of Arts, (English & Italian), 2006
Bar Admissions
- Pennsylvania
As Promised: Beneficial Ownership Reporting Requirements Went Into Effect January 1, 2024
Written by Janel Clause
For the past couple years, we warned you in our business law blog that this time would come. It’s here; the federal Corporate Transparency Act (the “Act”), requiring many businesses to report beneficial ownership information about their owners and anyone with substantial control of the company, went into effect on January 1, 2024. This means that any “reporting company” in existence prior to January 1, 2024 has until January 1, 2025 to report; any reporting company that was formed on or after January 1, 2024 but before January 1, 2025 has 90 days after formation to report; and any reporting company formed on or after January 1, 2025 has 30 days after formation to report.
It should be noted that on March 1, 2024, the United States District Court for the Northern District of Alabama held that the Act was unconstitutional because Congress exceeded its authority. National Small Business United d/b/a the National Small Business Association, et al. v. Yellen, Case No. 5:22-cv-1448-LCB. The Financial Crimes Enforcement Network (FinCEN), the agency overseeing the administration of the Act, has announced that it will abide by the court’s order for as long as it remains in effect. This means that it will not seek enforcement against the plaintiffs in the case (Isaac Winkles, reporting companies of which Mr. Winkles is a beneficial owner or applicant, and members of the National Small Business Association as of March 1, 2024). It seems likely that this decision will be appealed. In the meantime, we encourage all entities formed after January 1, 2024 (other than those who were members of the National Small Business Association as of March 1, 2024) to comply with the Act given the 90-day compliance period. Entities already in existence on January 1, 2024 may want to await further developments given that their compliance deadline is months away.
Patricia Collins and Tom Donnelly, Partners of the law firm of Antheil Maslow & MacMinn, LLP, joined the Honorable Robert J. Mellon and Jessica Frost, Judicial Administrative Assistant, for a panel discussion at the Litigation Section meeting of the Bucks County Bar Association on February 14th. This continuing legal education program covered preliminary injunctions practice in Bucks County including the procedures, the Court’s perspective on emergency relief, timing, discovery and evidence at hearings.
Patricia Collins focuses her practice on employment law and commercial litigation. Tom Donnelly practices commercial litigation, personal injury and business law. Patricia Collins and Tom Donnelly can be reached at 215.230.7500. To learn more about
litigation services at AMM Law, visit ammlaw.com.
Antheil Maslow & MacMinn, LLP is a full-service law firm located in Doylestown, PA. At AMM, we pride ourselves on developing deep relationships with our clients by taking time to understand their goals in order to provide responsive, practical legal advice and aggressive
advocacy
THE DEPARTMENT OF LABOR’S NEW INDEPENDENT CONTRACTOR RULE
Written by Patricia Collins
On January 9, 2023, the United States Department of Labor issued a new final rule regarding the proper classification of workers as independent contractors under the Fair Labor Standards Act. While the rule is technically new, it is, in substance, a recitation of the applicable law regarding the proper classification of workers set forth by the Supreme Court.
Prior to recent rule making, caselaw guided the determination of whether a worker was an employee or independent contractor under the Fair Labor Standards Act (“FLSA”). In United States v. Silk, the United States Supreme Court outlined the factors relevant to the determination: degree of control, opportunities for profit or loss, investment in facilities, permanency of relations and skill required in the claimed independent operation. The Silk court noted that “no one factor is controlling.” Just about every court, federal or state, applies the same or similar standard to determine the issue under the FLSA or state statutes regarding minimum wage and overtime pay.
Antheil Maslow & MacMinn, LLP is pleased to announce that Janel Clause has joined the firm’s Business & Corporate practice group. Ms. Clause concentrates her practice primarily in business and corporate law, serving as a valued partner to owners and key leadership of closely held businesses in a variety of commercial and real estate transactions.
Janel Clause works closely with business owners regarding a variety of transactional matters, including business formation, drafting governance documents, mergers and acquisitions, succession planning, shareholder/member/partnership agreements, ownership disputes, commercial agreements, drafting and negotiating joint venture agreements, employment contracts, asset purchase agreements, buy-sells, leases and other documents; performing substantial due diligence, and working with state and local governments to obtain necessary business licenses and guide her clients through the process as seamlessly as possible.
In addition, Janel brings her experience and skill sets as a real estate consultant to bear on her real estate practice; focusing on sales, leases and acquisitions related to business entities, and brings a keen understanding of the elements of such transactions to each negotiation and deal.
To learn more about Janel Clause, visit her attorney profile.
Antheil Maslow & MacMinn, LLP is a full-service law firm located in Doylestown, PA. At AMM, we pride ourselves on developing deep relationships with our clients by taking time to understand their goals in order to provide responsive, practical legal advice and aggressive advocacy.
Associate
215-230-7500, ext. 156
jclause@ammlaw.com
Practice Groups
- Business & Finance
- Real Estate
Education
- Widener University, Commonwealth School of Law School of Law, Juris Doctor, cum laude, Business Advising Certificate, Extended Division, 2021
- Pennsylvania State University, Bachelor of Science, cum laude, (Life Science), 2008
Bar Admissions
- Pennsylvania
Family Law practitioners Jessica Pritchard and Melanie Wender of the law firm of Antheil Maslow & MacMinn, LLP were presenters at the National Business Institute’s Pennsylvania Advanced Divorce Law continuing legal education program on December 12, 2023.
Jessica Pritchard and Melanie Wender both practice exclusively in Family Law with extensive experience focusing on all aspects of divorce and family law. In addition, Ms. Wender handles adoption issues and has assisted many clients in making this life-changing process as seamless and smooth as possible.
Jessica Pritchard and Melanie Wender can be reached at 215.230.7500. To learn more about Family Law services at AMM Law, visit ammlaw.com.
Antheil Maslow & MacMinn, LLP is a full-service law firm located in Doylestown, PA. At AMM, we pride ourselves on developing deep relationships with our clients by taking time to understand their goals in order to provide responsive, practical legal advice and aggressive advocacy.
Partner and Family Law practitioner Jessica A. Pritchard of the law firm of Antheil Maslow & MacMinn, LLP, was presented with the Harriet M. Mims Award by the Women Lawyers Division, as well as the President’s Award at the Buck County Bar Association's annual dinner this month.
The Mims award is named after Harriet Mims, the first female judge in Bucks County and one of the first women to be admitted to the Bucks County Bar. The award is presented annually to a female attorney who exhibits the characteristics of strength, leadership and integrity and has also served as a mentor to young lawyers. Nominations are made by members of the association with a panel making the final selection of the recipient.
The President’s Award recognizes dedication and service which contributes to the Bar Association’s success.
In addition to her career as a preeminent Family Law attorney, Ms. Pritchard is an active member of the local bar association, serving in significant leadership roles with both the Bar Association and the Buck County Bar Foundation, the charitable arm of the BCBA. She regularly participates pro bono at Protection from Abuse proceedings in the Court of Common Pleas. Ms. Pritchard is a frequent speaker regarding a variety of family law matters for the Pennsylvania Bar Association Family Law Section, Pennsylvania Bar Institute, and the Bucks County Bar Association.
Jessica Pritchard can be reached at 215.230.7500 ext. 140. To learn more about Jessica Pritchard, visit ammlaw.com.
Antheil Maslow & MacMinn, LLP is a full-service law firm located in Doylestown, PA. At AMM, we pride ourselves on developing deep relationships with our clients by taking time to understand their goals in order to provide responsive, practical legal advice and aggressive advocacy.