16 C.F.R. § 910.3

Current through August 31, 2024
Section 910.3 - [Effective 9/4/2024] Exceptions
(a)Bona fide sales of business. The requirements of this part shall not apply to a non-compete clause that is entered into by a person pursuant to a bona fide sale of a business entity, of the person's ownership interest in a business entity, or of all or substantially all of a business entity's operating assets.
(b)Existing causes of action. The requirements of this part do not apply where a cause of action related to a non-compete clause accrued prior to the effective date.
(c)Good faith. It is not an unfair method of competition to enforce or attempt to enforce a non-compete clause or to make representations about a non-compete clause where a person has a good-faith basis to believe that this part is inapplicable.

16 C.F.R. §910.3

89 FR 38502, 9/4/2024