Non-compete ban overturned?
Non-compete ban overturned?
$9,100 vol
Order book
Yes
Market Rules
The outcome is The Northern District of Texas’s August 20, 2024 judgment vacating the FTC’s non-compete rule became final when the Fifth Circuit dismissed the FTC’s appeal on September 8, 2025.
If the FTC's non-compete ban has been overturned by the courts or by Congress by 2030, then the market resolves to Yes. Outcome verified from PACER.
The Payout Criterion states: “…a final U.S. Federal Court ruling overturning the FTC’s rule prohibiting new non-compete agreements. Specifically, it must overturn the portion of the rule regarding new non-compete agreements, not legacy ones. If Congress uses the Congressional Review Act to overturn the rule, then that is also encompassed within the Payout Criterion.”
Note that the FTC dropping its defense of the rule is not encompassed in the Payout Criterion.
The Expiration Date states: “…no active lawsuits challenging the final rule existing after June 30, 2025…”
If the FTC drops its defense and there is no active lawsuit on July 1, 2025, then the market will close and resolve to No.
Timeline and payout
Market openMay 1, 2024 · 8:00am EDT
Market closedAfter the outcome occurs
Paid out1 hour after closing
SeriesKXNONCOMPETEBAN
EventNONCOMPETEBAN
MarketNONCOMPETEBAN
Insider trading is prohibited
The following are prohibited from trading this contract:
- Persons who are employed by any of the Source Agencies are not permitted to trade on the Contract.
- Persons who hold any material, non-public information on the Underlying are not permitted to trade on the Contract.
About
The Federal Trade Commission (FTC) has finalized a rule banning noncompete clauses in employment contracts, effective September 4, 2024. This rule prohibits new noncompete agreements and renders most existing ones unenforceable, except for those involving senior executives. The ban aims to promote competition and protect workers' freedom to change jobs or start new businesses. However, the rule faces legal challenges, with lawsuits filed by Ryan LLC and the U.S. Chamber of Commerce arguing that the FTC exceeded its authority in issuing the rule.