Non-Disparagement Provisions

News & Analysis as of

Is It “Disparaging” To Say “Karma Is A Bi**H”?

Employee sues her boss for sexual harassment. Case settles for $127,500, and she has to agree to confidentiality and non-disparagement....more

Drafting Valid Damages Provisions in Settlement Agreements

Often thought of as a formality that should take minimal effort and expense to prepare, the drafting of the settlement agreement can quickly turn into a “devil in the details” scenario. One or more of the parties to the...more

Federal agencies attack employment agreements, and what you can do about it: 8 steps to consider

The US Securities and Exchange Commission recently caused shockwaves when it announced its first enforcement action against a company for using an allegedly improper confidentiality agreement during internal investigations....more

What is a "Non-Disparagement" Clause and Why You May Not Want to Sign One

You settle your case, and the defendant agrees to pay you a lot of money. All that’s left to do is to sign a “standard” settlement agreement prepared by the defendant’s attorney. You get to page 10 and see a paragraph...more

If I Were Paid to Walk in Your Shoes: Protecting a Company's Interests in Endorsement Deals While Still Looking Out for Player...

Chandler Parsons, a forward for the NBA’s Dallas Mavericks, does not have to worry about buying basketball shoes. Rather, Parsons, like other NBA players, gets paid to wear certain brand name shoes. In February 2014, Chinese...more

Employment Law Newsletter - April 2015

In This Issue: - Do Your Company Policies & Procedures Stand up against the NLRB? - Potential Pitfalls of Terminating an Employee who Requests Extended Leave - Excerpt from Do Your Company Policies & Procedures...more

Do Your Company Policies & Procedures Stand up against the NLRB?

Many private businesses may be surprised to learn that the National Labor Relations Board (the “NLRB” or “Board”) can and will regulate policies and procedures that impact employees’ right to organize under Section 7 of the...more

Federal Court Stops the EEOC’s Assault on CVS’s Severance Agreement

A federal court has tossed the EEOC’s controversial lawsuit against CVS seeking to invalidate its severance agreements. While the EEOC still has a similar lawsuit pending against another company in Colorado, employers can...more

Court Dismisses EEOC's Controversial Lawsuit Challenging Standard Provisions in Separation Agreements

Earlier this year, the EEOC brought a lawsuit in federal court in Illinois claiming that the severance agreement used by a nationwide retail pharmacy in connection with the terminations of hundreds of employees unlawfully...more

Litigation Alert: California Bans Non-Disparagement Clauses in Consumer Contracts

On September 9, 2014, Governor Jerry Brown signed into law AB 2365, popularly referred to as the “Yelp” bill. The new law, codified at California Civil Code section 1670.8, will prohibit the use of “non-disparagement” clauses...more

EEOC Alleges that Standard Severance Agreement Language Violated Title VII

Certain standard provisions contained in separation agreements commonly used by employers violate federal law, according to the Equal Employment Opportunity Commission ("EEOC"). Specifically, EEOC in a suit filed in Illinois...more

Drafting a Practical and Enforceable Non-Disparagement Provision

More than once, an in-house counsel has called me up wanting to sue a former employee because s/he has been “bad-mouthing” the company despite having agreed not to disparage the company as part of a settlement or severance...more

Activists Increasingly Seek a “Second Bite at the Apple”

In recent proxy seasons we have noticed an increase in the frequency of “second bite” proxy contests. These situations can take various forms, including (i) a second proxy contest by an activist that reached a settlement with...more

Employment Law -- Jul 18, 2013

D.C. Circuit Flips DOL’s Flip-Flop On Mortgage Loan Officers - Mortgage loan officers may qualify for the administrative exemption from the overtime wage provisions of the Fair Labor Standards Act, the D.C. Circuit...more

If You Can’t Say Anything Good about Someone, Well, Keep Talking – The EEOC Challenges the Legality of Non-Disparage Agreements

As the saying goes, if it didn’t end badly, it never would have ended. That is often the case for former employees who no longer simply gripe to spouses or close friends about their former employers....more

NLRB Gets Busy – Part 2 NLRB Incursion Into Non-Unionized Workplace

In January, we told you about recent activity by the National Labor Relations Board that overturned or departed from settled precedent. As promised, in Part 2 of this Alert series we summarize recent decisions where the...more

NLRB Judge Rules on Confidentiality and Non-Disparagement Provisions

ALJ strikes down provisions in an employment agreement for violating the NLRA, finding they chilled employees' exercise of Section 7 rights. On January 8, an Administrative Law Judge (ALJ) for the National Labor...more

Legal Alert: NLRB Judge Finds Confidentiality And Non-Disparagement Provisions In Employment Agreement Violate NLRA

Employers who seek to protect their confidential business information and their reputations by requiring employees to sign employment agreements containing confidentiality and non-disparagement clauses may now face opposition...more

Act Now Advisory: The NLRB Is Looking at Confidentiality, Non-Disclosure, and Non-Disparagement Provisions in Your Agreements

Another decision has been issued by a National Labor Relations Board ("NLRB" or "Board") administrative law judge ("ALJ") striking down a non-union employer's confidentiality and proprietary information and non-disparagement...more

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