Employment Contract

News & Analysis as of

The NLRB's Attack On Dealership Arbitration Agreements

Many of our dealership clients utilize binding arbitration agreements to resolve employee disputes. Arbitration agreements provide a number of unique benefits to those dealerships that wish to avoid the costs and negative...more

Utah Passes New Law Placing Restrictions on Noncompetition Agreements

On March 9th, 2016, the Utah Legislature passed a bill, which the governor signed, substantially limiting an employer's ability to use noncompetition covenants to prevent former employees from competing against them. The new...more

Congress Passes Sweeping New Legislation To Protect Trade Secrets

Last week, in a departure from the partisan gridlock that has gripped Washington, the House of Representatives joined the Senate in passing a sweeping new statute to protect trade secrets. The legislation, which President...more

Surviving the Strife: How Start-Up Founders Can Ensure That Inevitable Friction and Departures Won't Sink the Company

History is all too often repeated when start-up founders fail to plan for when (not if) they don’t see eye-to-eye. Relationship breakdowns and messy founder departures are common root causes of start-up failures. Common...more

UPDATE: Federal Defend Trade Secrets Act Clears the House, Passage into Law Expected

As expected, overwhelming support for the Defend Trade Secrets Act of 2016 led to its passage in the U.S. House of Representatives yesterday by a 410-2 vote. During the floor debate, one Congressman noted that “Congress has...more

Canadian Employment News Series - April 2016

Duty to accommodate may include transferring employee to another workplace A recent decision by the Public Service Labour Relations and Employment Board serves as a reminder to employers that that it is wise to obtain...more

The cost of ambiguity: termination clause in fixed-term employment contract ruled unenforceable

On April 8, 2016, the Ontario Court of Appeal released its decision in Howard v Benson Group[1], in which the court provides important guidance to employers in relation to the use of fixed-term contracts for employees and the...more

Fixed-term Employment Agreements: Draft Them Carefully

Employers often use fixed-term employment agreements to limit their future severance costs owed to employees. Although that may be an effective approach in theory, the Ontario Court of Appeal’s recent decision in Howard v....more

Defend Trade Secrets Act of 2016 Heading to White House: What You Should Know Now

Congress has finally passed the anticipated Defend Trade Secrets Act of 2016 (DTSA). The bill, which is now on its way to the White House and is expected to be signed by President Obama, will be effective immediately once it...more

Tom Brady’s suspension reinstated, so what are the potential Massachusetts tax consequences?

Deflategate and the NFL’s suspension of quarterback Tom Brady for 4 games has been the NFL’s biggest news story of the past two years. On April 25, 2016, the United States Court of Appeals for the Second Circuit ruled in...more

Defend Trade Secrets Act Passes Congress

With President Obama’s signature expected, DTSA will allow for new federal civil suits, ex parte seizures, and whistleblower protections. After unanimously passing the Senate earlier this month, the Defend Trade...more

Get Off My Cloud: “BYOC” Workplaces Pose Trade Secrets Risks

There’s been a lot of talk in recent years about “BYOD” (“Bring Your Own Device”) policies, which are becoming increasingly common in the workplace. Employees want the flexibility and ease that comes with being able to use a...more

Pending California Legislation Threatens to Eviscerate Consumer and Employment Contractual Choice of Law and Venue Provisions

Out-of-state companies doing business in California would be well-advised to look closely at a new bill pending in the California State Legislature. If you are concerned about defending litigation cases in the most...more

California Supreme Court Enforces Arbitration Agreement, Finding It Is Not Unconscionable

In this case, a former employee of a retail store appealed to the California Supreme Court seeking reversal of an appellate court decision which found that an arbitration agreement in her employment application was not...more

Medical Non-Competes in Rhode Island: No Clean Bill of Health

The Rhode Island Superior Court recently refused to enforce a non-compete agreement against a local physician because it was against the public interest. Medicine and Long Term Care Associates, LLC v. Khurshid, PC 2015-0458,...more

Practical Advice for the Business Owner - Avoiding common mistakes when making incentive compensation grants to employees

Incentive compensation (e.g., stock options, restricted stock, bonus plans, phantom stock, stock appreciation rights, etc.) can be a very useful tool for aligning the incentives of employees and shareholders, as well as a...more

Don’t Roll Back Your Employee Benefits: Consider Walmart’s Fixed Shifts

One sign of a successful business is happy employees. So how do you keep employees happy? Providing good benefits for them is one top method. For an example of this, we can look at Walmart and how they are working to make...more

Consider Liquidated Damages to Deter Employees From Misappropriating Company Information

It is not unusual for employment agreements to mandate that when an employee leaves a company, whether voluntarily or by termination, he or she must return all company information. As the employer in EventMonitor v. Leness...more

Cybersecurity Compliance Just Got Tougher

Companies need specific, well-executed plans to meet growing demands of federal and state agencies. While cybersecurity risks have increased, government regulation has traditionally lagged behind. Recently, some...more

Early Termination of Fixed Term Contract Results in Employee Windfall (Or the Dangers of Dubious Drafting)

The Ontario Court of Appeal recently awarded an employee, whose fixed-term contract was terminated on a without cause basis twenty-three months into a five-year term, damages reflecting the balance of his remuneration under...more

Eighth Circuit Decision Suggests Employers May Have An Alternative Option to Using Non-Compete Agreements

A recent Eighth Circuit Court of Appeals decision suggests another avenue for employers to secure damages from an employee who competes against them after employment ends – without the use and many limitations of a...more

The California Edition of the Employment & Labor Newsletter

Take a Seat! California Supreme Court Provides Clarity on California’s Suitable Seating Laws - A recent ruling by the California Supreme Court on suitable workplace seating arrangements will affect a vast number of...more

Basics of Employment Law in Austria: Part III

This article is the third in a series which provides an overview of the basics of employment law in Austria and will focus on the legal requirements applicable to employee termination procedures. I. Termination of Employment...more

Federal Defend Trade Secrets Act Clears the Senate: Is the Uniform Act on Life Support?

The U.S. Senate has unanimously approved a bill increasing the protections available to companies for their commercial secrets. The Defend Trade Secrets Act of 2016 (DTSA or the Act) provides for the first time a truly...more

You Can’t Put Lipstick On This Pig: Beauty Company’s Non-Compete Deemed Unenforceable

On March 25, 2016, a Massachusetts Superior Court judge struck down skin care salon Elizabeth Grady Face First, Inc.’s (“Elizabeth Grady” or the “Company”) attempt to make its non-compete agreement seem prettier than it...more

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