NSGA Advocacy in Action – FTC and Noncompete Agreements

DOWNERS GROVE, ILLINOIS (October 27, 2025) – In 2023, after polling membership, NSGA supported a proposed Federal Trade Commission (FTC) ban of employee noncompete agreements. In the wake of the proposed ban, legal action was filed against the FTC by several parties and the proposed ban was later struck down by the courts for the parties involved indicating that the FTC had engaged in an invalid act of its authority and that the ban was arbitrary. 

In September 2025, the FTC issued another Request for Information on noncompete agreements to “better understand the scope, prevalence, and effects” of such agreements and will use this data to determine future enforcement actions. NSGA, consistent with its 2023 position, filed a 2025 statement with the FTC supporting a ban on noncompetes indicating that these anticompetitive agreements are harmful to growth of businesses while causing economic harm to valued members of the sporting goods industry. 

Any sporting goods retailer or team dealer with concerns about noncompetes in the industry may enter their own comment directly with the FTC by November 3, 2025. Further information about the FTC’s statement and how to post a comment, which can be made anonymously, can be found here. 

To explore more of NSGA’s Advocacy efforts, please contact advocacy@nsga.org or visit the NSGA Advocacy web pages.