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Single Use of Racial Slur May Constitute Harassment

Seyfarth Synopsis: The California Supreme Court ruled that an isolated, one-time, use of a racial slur may be so severe—when viewed in relation to the totality of the circumstances—as to alter the conditions of employment,...more

Standard Contract Waiver Analysis Applies to Arbitration Agreements

Seyfarth Synopsis: The California Supreme Court reaffirmed that arbitration agreements are on equal footing with other types of contracts. Therefore, a court should apply the same principles that apply to other contracts...more

Good Faith Defense Applies To Wage Statement Penalty Claims

The California Supreme Court concluded that the “good faith” defense applies to claims seeking to impose penalties under California Labor Code section 226. An employee must show that an employer’s failure to comply with...more

U.S. Supreme Court Clarifies Application of FAA Transportation Exemption

On April 12, 2024, the United States Supreme Court ruled that an individual does not need to work directly in the transportation industry to be within the scope of the Federal Arbitration Act (FAA) exemption for...more

California Supreme Court Attempts To Clarify Issues Of Control

On March 25, 2024, the California Supreme Court unanimously answered three questions regarding the meaning of "hours worked” that had been certified to it by the Ninth Circuit Court of Appeal. This ruling illuminates what...more

The California Supreme Court Pulls The Carpet Out From Underneath Employers

Seyfarth Synopsis: On January 18, 2024, in Estrada v. Royalty Carpet Mills, Inc., the California Supreme Court addressed the split in appellate authority as to whether trial courts have inherent authority to strike a PAGA...more

Eleventh Circuit Holds FMLA Retaliation Requires “But-for” Showing

Seyfarth Synopsis: The United States Court of Appeals for the Eleventh Circuit affirmed a district court’s decision that “but-for” is the proper causation standard for FMLA retaliation claims addressed within the...more

Tenth Circuit Highlights Limits on Employers Defining Essential Functions of a Position

Seyfarth Synopsis: The Tenth Circuit Court of Appeals reversed a summary judgment award on an employee’s failure-to-accommodate claim. The Court’s decision focused on the employer’s improperly narrow delineation of the...more

Third Party Agents Are Employers For Purposes Of FEHA Liability

Seyfarth Synopsis: In a case of first impression, the California Supreme Court decided FEHA claims can be litigated directly against certain agents of an employer. Raines v. U.S. Healthworks Medical Group....more

California Supremes Set Bounds on Employer Duty to Non-Workers

Seyfarth Synopsis: The California Supreme Court unanimously held that while claims brought by an employee’s spouse for COVID injury are not barred by the Workers’ Compensation Act’s (WCA) exclusivity provision, policy...more

Don’t Play That Funky Music — The Music Might Be Harassing

Seyfarth Synopsis: A Ninth Circuit opinion has held that music with sexually derogatory and violent content might give rise to a claim for discrimination based on sex even if the music offends both men and women. Sharp, et al...more

Whistleblower “Disclosure” Includes Information Already Known to Employer

Seyfarth Synopsis: California Labor Code section 1102.5 protects employees who disclose what they believe to be violations of the law. The Supreme Court of California has ruled that such disclosures are protected even if the...more

Court Provides Guidance Regarding Employer Vaccine Mandates

Seyfarth Synopsis: In a published decision, a California Court of Appeal has ruled that a hospital’s decision to terminate an employee for failing to comply with its flu vaccine mandate did not violate California’s Fair...more

Court Of Appeal Holding: One Bad Agreement Spoils The Bunch

Seyfarth Synopsis: The California Court of Appeal held that separate arbitration and confidentiality agreements that were executed simultaneously during initial hiring should be read together, such that the unconscionability...more

California Appellate Court Clarifies Elements of Pregnancy Discrimination Claims

Seyfarth Synopsis: A California Court of Appeal ruled that both the Fair Employment and Housing ACT (FEHA) and California’s Pregnancy Disability Leave law (PDL) require a plaintiff to prove that the plaintiff had a condition...more

Ninth Circuit Rehearing Suggests a FAArewell to California’s Arbitration Prohibition

Seyfarth Synopsis: A divided Ninth Circuit Court of Appeals panel has ruled that the Federal Arbitration Act (FAA) preempts California Assembly Bill 51 (AB 51), which purports to prohibit employers from requiring job...more

San Francisco Employees Now Entitled To Differential Pay For Military Leave

On January 20, 2023, San Francisco became the first jurisdiction in the nation to require private employers to provide differential pay to employees who are called to active military. Addressing disparities between public and...more

California Employers Not Required To Pay “Overtime On Overtime”

Seyfarth Synopsis: Under the Fair Labor Standards Act (FLSA) and applicable federal regulations, percentage of earnings bonuses can be excluded from the calculation of the regular rate of pay for purposes of calculating...more

The Death of Rounding Practices May Be Around the Corner

Seyfarth Synopsis: Neutral rounding policies have long been approved by the California courts. See’s Candy Shops, Inc. v. Superior Court (2012). However, the California Court of Appeal recently held that employers who “can...more

Wage Statement And Final Pay Rules Apply To Meal And Rest Break Premiums

Seyfarth Synopsis: The California Supreme Court recently determined that meal and rest period premium payments are subject to the final pay timing requirements of Labor Code section 203 and the wage statement reporting...more

California Supreme Court Finds Meal And Rest Premiums Subject To Wage Statement And Final Pay Requirements

Seyfarth Synopsis: The California Supreme Court recently determined that meal and rest period premium payments are subject to the final pay timing requirements of Labor Code section 203 and the wage statement reporting...more

If The Signing’s Not Real, Don’t Count On Appeal

Seyfarth Synopsis: The Court of Appeal affirmed an order denying an employer’s motion to compel arbitration because the employer failed to authenticate the employee’s electronic signature on the arbitration agreement....more

California Takes Steps To Ensure That The Kids Are Alright

Seyfarth Synopsis: As previously discussed here, on September 29, 2020, Governor Newsom signed AB 1963, an amendment to the Child Abuse and Neglect Reporting Act, which will become effective January 1, 2021. The revised Act...more

Court of Appeal Holds Statutory Rights Supersede Arbitration Award

Seyfarth Synopsis: California Business and Professions Code section 16600 expresses California’s strong public policy of protecting the right of citizens to pursue any lawful employment. ...more

Something’s Afoot in Tinsel Town: New Laws for the Entertainment Industry

Seyfarth Synopsis: Two new California laws are set to significantly affect the entertainment industry: one will deal a giant blow to productions and studios accustomed to hiring independent contractors; the other will give...more

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