Release Agreements

News & Analysis as of

Releases of Liability: Do's and Don't's for Employers

Employers often use waivers and releases of claims in agreements with former employees, either as part of a separation agreement at the time employment ends or in a settlement agreement after a former employee has raised...more

Recommendations in Response to the EEOC’s New Lawsuit on Severance Agreements

On February 7, 2014, the Chicago District Office of the Equal Employment Opportunity Commission brought suit in the U.S. District Court for the Northern District of Illinois against CVS Pharmacy, Inc., claiming that a...more

Take 5 Newsletter: Five New Challenges Facing Retail Employers

Retailers face new challenges every day as a result of legislation, litigation, and technology. This Take 5 addresses some of these challenges. 1. Pregnancy Accommodation - Several states and municipalities...more

In Drafting A Release, You May Want To Define “Affiliate”

It is not uncommon for a release to include not just the released party but affiliates of the released party. I suspect that it is far less common for a release agreement to actually define what is meant by “affiliate”. ...more

Validity And Enforceability Of Seaman’s Release

The recent ruling in Double J. Marine, LLC v. Matthew Nuber, No. 13-5825 (E.D. La. Dec. 11, 2013) serves as a key reminder that employers need to be mindful that courts scrutinize release agreements as seamen are the wards of...more

In Connecticut, Global Release “Non-Binding” With Respect To Workers’ Compensation Claims Until Approved By Commissioner

In a recent decision, the Connecticut Supreme Court gave teeth to the provisions of Connecticut General Statute § 31-296 of the Connecticut Workers’ Compensation Act—which provide a mechanism through which employers and...more

Releases of Liability as Part of Licensing Deals – How Hard to Push?

Christopher Barnett, Scott & Scott, LLP attorney, discusses the importance of requesting releases of liability when negotiating new software licenses or support renewals....more

Florida High Court To Examine Exculpatory Clauses That Do Not Specifically Reference Negligence

On November 5, 2013, the Florida Supreme Court heard oral argument in a case examining whether a release clearly and unambiguously releases the defendant from liability for a plaintiff’s physical injuries when the release...more

A Release Fails To Persuade Canada’s Privacy Commissioner To Discontinue Investigation

In case you missed it, the Office of the Privacy Commissioner of Canada (OPC) posted Report of Findings #2013-004 (dated July 18, 2013) on November 4, 2013 relating to an access inquiry by a former employee of a bank under...more

Natural Gas Boom Fuels Requests for Partial Releases from Mortgage Liens

Residential lenders and servicers are continuing to see a larger impact from the natural gas boom, and it is not just from properties hosting drilling operations. More lenders are seeing increasing numbers of borrowers...more

Court Upholds Waiver And Release Clause

An Illinois Appellate Court recently upheld a waiver and release clause in a fitness club’s membership agreement that barred an injured member from seeking damages in court. In Hussein v. L.A. Fitness International, the...more

Buying Peace?

Every employment relationship ends at some point, and some end involuntarily and with hard feelings. Sometimes, hard feelings come from current employees as well. When these hard feelings exist, employment claims are...more

New Law on the Horizon for Illinois Employers Settling Tort Claims

On January 1, 2014, a new section of the Civil Practice Law, “Settlement of claims; payment” (735 ILCS § 5/2-2301), will take effect. The Illinois legislature passed the law in an effort to expedite the payment process in...more

New Illinois Legislation Requires Settling Defendants In Certain Civil Litigation To Promptly Deliver Releases And Payments To...

A new Illinois law aimed at preventing defendants from delaying payment after agreeing to settle a claim will impact Illinois employers that settle certain tort claims. The new section of the Civil Practice Law, “Settlement...more

New Jersey Decision Offers Cautionary Tale to Employers Regarding How Courts May Interpret Whether Employee’s Release is Knowing...

On August 26, 2013, the New Jersey Appellate Division reversed a grant of summary judgment to an employer upon concluding, based on little more than the plaintiff’s self-serving statements, that its former employee’s detailed...more

Severance Agreements: What Are They Good For?

Employers frequently use severance agreement when terminating an employee or when an employee resigns with the hopes of reducing potential liability. In our practice, we often advise employers to offer severance pay that is...more

Software Audits: Securing a Release of Liability with Settlement

Scott & Scott, LLP attorney, Keli Johnson Swan, suggests companies pay attention to the non-monetary provisions in final settlement agreements with software auditing entities, such as the Business Software Alliance and the...more

EEOC Files Suit Against Book Distributor For Overbroad Severance Agreement Language

Just weeks after settling its first ever Genetic Information Nondiscrimination Act (“GINA”) discrimination lawsuit and filing its first ever class action lawsuit under GINA, the Equal Employment Opportunity Commission (EEOC)...more

Know Your Rights - 10 Actions To Ensure Your Wildfire Insurance Claim is Timely and Fairly Adjusted

The recent wildfires raging through Colorado have once again proven tragic for our state. The 2013 wildfire season has already led to loss of life, property and, in many cases, revenue. For many, insurance will provide the...more

Securities Class Representative Cannot Object to Bankruptcy Release on Behalf of Class

The US District Court for the Southern District of New York affirmed an order rejecting an objection to the confirmation of a Chapter 11 Plan of Reorganization for Dynegy, Inc. and Dynegy Holdings, LLC (together, Dynegy) for...more

Seventh Circuit: Terminated Employee’s Release Agreement Bars Pension Claim, ERISA’s Anti-Alienation Provision Does Not Apply

The Seventh Circuit dismissed a former employee’s claim for additional pension benefits after concluding that a release agreement he signed had waived any claims that arose prior to the signing of the release and his claim...more

Employer Was Released From Liability In Settlement Agreement Between Employee And Third Party

Heriberto Ceja Rodriguez sued Takeshi Oto for injuries he sustained in an automobile accident. Unbeknownst to Rodriguez, at the time of the accident, Oto was driving from an event related to his employment. (Oto was driving a...more

Gavel to Gavel: Picture policies

Originally published in The Journal Record - March 14, 2013. Your company just hosted a successful public event, perhaps a fundraiser for a local charity. The event is over, and all that remains is to post photos from...more

Delaware Opinion In Indianapolis Downs Case Expands Third Party Releases And Approves Post-Petition Lock-Up Agreements

The Bankruptcy Court for the District of Delaware recently issued an opinion confirming a chapter 11 plan (i) based on a lock-up agreement between the debtor and its major creditors and (ii) containing third party releases...more

ERISA: Releases Should Explicitly Release ERISA Claims and ERISA Plan

Here’s a unique twist: Does that workers’ compensation settlement agreement release the ERISA disability claim? Probably not, unless the release explicitly mentions ERISA claims and the ERISA Plan....more

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