Bad news, employees: non-competes aren’t going anywhere

• A federal judge blocked the Federal Trade Commission's non-compete regulation.
• The Texas judge ruled the FTC exceeded its authority and called the rule arbitrary and capricious.
• The rule was slated to take effect on September 4.

A Texas federal judge has blocked the implementation of the Federal Trade Commission's regulation that would have canceled nearly all existing non-compete agreements.

Tuesday's decision is a relief to employers, who continue to remain protected against employees quitting and working for direct competitors.

The judge ruled that the FTC "exceeded its statutory authority" in making the rule, which the judge called "arbitrary and capricious." The judge also concluded that the rule, which would have gone into effect on September 4, would cause irreparable harm.

This is a breaking news story. Please check back for updates.