As we all know, the U.S. Chamber of Commerce announced a few weeks back that it would bring litigation to challenge the FTC’s authority to issue a rule banning noncompetes.
Earlier this week, U.S. Senators Elizabeth Warren and Sheldon Whitehouse sent a letter to the U.S. Chamber of Commerce asking for the following information:
1. How did the Chamber determine that it would oppose the non-compete rule, and that it would sue to stop it?
a. Does this opposition represent the view of each of your member companies?
b. Specifically, does it represent the views of your small business members?
2. Which Chamber members have donated to the Chamber’s efforts to challenge this rule?
a. Please provide a list of all corporations participating in this effort and the amount of money pledged from each.
3. Does the Chamber provide any guidance for member organizations regarding the use of abusive or unenforceable noncompete agreements?
4. Which of the Chamber of Commerce’s large corporate members use non-compete agreements?
5. How many of the Chamber’s small business members use such agreements?
The letter explains, “We are writing today regarding the Chamber’s recent statements opposing the Federal Trade Commission (FTC) proposed rule banning employers’ use of noncompete agreements.”
The Chamber is asked to respond by March 13.
We’ll keep you posted.