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The Federal Trade Commission adopted a controversial rule for noncompete provisions yesterday. As expected, the final regulation, which was first proposed in January 2023, will prohibit virtually all noncompete restrictions, which the FTC claims will lead to increased wages and innovation and improve the American economy.

The U.S. Department of Labor just announced significant revisions to the Fair Labor Standards Act regulations, increasing exempt employee salary thresholds, resulting in an estimated 4 million additional employees becoming eligible to receive overtime. The DOL emphasized that the new thresholds provide clear and predictable guidance for employers and are intended to “ensur[e] that lower-paid salaried workers receive their hard-earned pay or get much-deserved time back with their families.” The changes under the rule will begin to take effect July 1, 2024.

In our ongoing commitment to making a meaningful difference in the lives of those in need and upholding our core value of Giving Back, our Pro Bono team hosted its second 2024 firmwide pro bono initiative on the pressing challenges confronting homeless individuals in our communities. We heard from the Denver Mayor’s Office, Legal Aid DC, Nevada Partnership for Homeless Youth and Bet Tzedek Legal Services in Los Angeles on the vital work being done by each panelist to support and empower the homeless population and how we can contribute to these crucial efforts.   

On Saturday, April 20, the House voted on a series of five separate bills, three of which would provide emergency funding to Israel, Ukraine and the Indo-Pacific, a fourth so-called “sidecar” spending bill that would cover a series of related national security measures sought by House Republicans, and a fifth bill focused on border security intended to appease conservative members of the GOP conference. 

With less than three weeks left until sine die, there are several key bills currently under consideration in or that have made their way through Colorado's legislature. These proposals span a variety of sectors including alcohol sales, housing regulations, assault weapons control, medical malpractice and artificial intelligence regulations.

While federal regulations and rules shift under new administrations frequently, recent events related to two important employment rules mean they revert to prior versions, potentially exposing employers to legal liability if they don’t adjust their compliance efforts. The new employee classification rule from the Department of Labor and a judicial stay of the National Labor Relations Board’s new rule for joint employers will require employers to comply with the prior iterations of these rules.

On April 17, the Department of the Treasury’s Office of Foreign Assets Control released General License 44A, requiring the wind down of business transactions with Venezuela’s state-owned energy company Petróleos de Venezuela, S.A. (PdVSA). The move effectively allowed General License 44 to expire and obligates companies engaged with PdVSA to wind down previously authorized operations in Venezuela by 12:01 a.m. ET on May 31, 2024. 

The Federal Trade Commission announced this week that it will finally hold its much-anticipated vote to finalize its controversial noncompete rule on Tuesday, April 23, 2024, at 2 p.m. The final regulation, which was first proposed in January of 2023, is expected to prevent most employers from enforcing noncompete restrictions, which the FTC claims will lead to increased wages and innovation and remove barriers to entrepreneurs from starting new businesses.

In honor of Women’s History Month, our Women's Leadership Initiative hosted a prom dress drive for Bella Boutique, a Denver nonprofit that provides free prom gowns, shoes and accessories to teens in financial need through a unique personal shopping experience in a beautiful boutique space designed to replicate a chic dress shop. The prom dress drive culminated with a group of Brownstein volunteers serving as personal shoppers to assist the teens with finding the perfect prom dress. 

Many states fund the construction of roads, schools, sewers, libraries and other essential infrastructure by collecting impact fees on new development. The amount of the impact fee may be calculated based on the type of development and its location. This municipal financing structure, however, has been premised on an understanding that the Takings Clause of the U.S. Constitution does not apply to impact fees established by legislative action and applied generally to all classes of development.