News & Analysis as of

Contract Terms Severance Agreements Employment Litigation

Morgan, Brown & Joy, LLP

Massachusetts Supreme Judicial Court Clarifies Scope of Massachusetts Noncompetition Agreement Act

On Friday, June 13, 2025, the Massachusetts Supreme Judicial Court issued its decision in Miele v. Foundation Medicine, Inc., SJC-13967, holding that forfeiture clauses tied to non-solicitation agreements were definitively...more

Ervin Cohen & Jessup LLP

To Sever or Not to Sever, That is the Question For Courts Reviewing Employment Arbitration Agreements for Enforceability

Less than a year ago, the California Supreme Court in Ramirez v. Charter Communications, Inc. opined, in the context of employment arbitration agreements, that there is no bright line rule that requires a court to refuse...more

ArentFox Schiff

How Policy Changes at the NLRB Could Affect Severance and Noncompete Agreements

ArentFox Schiff on

On February 14, the new general counsel of the National Labor Relations Board (NLRB), William Cowen, rescinded more than 25 previously issued policy memoranda....more

Littler

Ontario, Canada Court Finds Employer Repudiated Employment Agreement When it Failed to Pay Employee’s Contractual Severance

Littler on

In Timmins v. Artisan Cells, 2025 CanLII 2387, Ontario’s Superior Court of Justice found, in an undefended claim, that the employers “by their correspondence and actions” repudiated the employee’s employment agreement when...more

BakerHostetler

Sixth Circuit Bypasses NLRB’s McLaren Macomb Confidentiality and Non-Disparagement Provisions Holding, Fostering Uncertainty About...

BakerHostetler on

On September 19, the Sixth Circuit Court of Appeals issued a decision enforcing the National Labor Relations Board (NLRB or Board) February 2023 McLaren Macomb decision. In doing so, the Sixth Circuit declined to comment on...more

Sands Anderson PC

NLRB’s McLaren Macomb Decision and the Future of Employee Severance Agreements

Sands Anderson PC on

Severance agreements have long been utilized as a valuable tool for providing employers with protections from the post-employment conduct or claims of former employees. Severance agreements often include a wide range of...more

Stoel Rives - World of Employment

NLRB Returns to Longstanding Position Limiting Use of Confidentiality, Non-Disclosure, and Non-Disparagement Clauses in Employee...

The General Counsel of the National Labor Relations Board (NLRB), Jennifer A. Abruzzo, issued guidance on March 22, 2023, about the NLRB’s McLaren Macomb, 372 NLRB No. 58, decision from February 21, 2023, which reinstated a...more

Adler Pollock & Sheehan P.C.

The End Of An Era, Separation Agreements In The Wake Of Mclaren Macomb: What Employers Need To Know

The National Labor Relations Board’s (the “Board”) decision in McLaren Macomb, significantly changes what employers are allowed to include in a departing employees’ severance/separation agreements or packages.  The Board’s...more

Dentons

Severance Agreements – Federal Implications

Dentons on

In the last article, we covered an Iowa Court of Appeals case relating to severance/separation agreements and whistleblower claims. Other issues have cropped up regarding severance agreements and their enforceability but on...more

Butler Snow LLP

A Severance Agreement Can No Longer Silence Out-Going Employees

Butler Snow LLP on

For years, confidentiality and non-disparagement clauses have been integral parts of any agreement where the employer agrees to pay the departing employee a severance. These types of provisions protect the employer on two...more

Akerman LLP - HR Defense

Employers Beware: The NLRB Limits Severance Agreements

The National Labor Relations Board (NLRB or Board) is making waves yet again. This time the NLRB has held that certain confidentiality and non-disparagement clauses in severance agreements violate Section 7 rights under the...more

Pullman & Comley - Labor, Employment and...

The NLRB Issues a Decision Impacting Non-disparagement and Confidentiality Provisions in Severance Agreements

The National Labor Relations Board (NLRB) recently indicated that when drafting severance or general release agreements, employers have to rethink how they use standard non-disparagement and confidentiality clauses. On...more

Bodman

NLRB Narrows Permissible Terms in Severance Agreements

Bodman on

The National Labor Relations Board (“NLRB”) has ruled that that including certain non-disparagement and confidentiality provisions in severance agreements violates the National Labor Relations Act (“NLRA”). In McLaren...more

Fenwick & West LLP

NLRB Holds that Severance Agreement with Broad Confidentiality and Non-Disparagement Covenants Violates the NLRA

Fenwick & West LLP on

On February 21, 2023, the National Labor Relations Board (NLRB) held that including broad confidentiality and non-disparagement clauses in severance agreements violates the National Labor Relations Act (NLRA)...more

Stikeman Elliott LLP

An Oppressive Outcome: Alberta Court Finds Directors Responsible for Severance Obligations

Stikeman Elliott LLP on

The recent decision of the Alberta Court of Queen’s Bench, Wisser v CEM International Management Consultants Ltd., 2022 ABQB 414, determined that the oppression remedy under the Alberta Business Corporations Act (“ABCA”),...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

New Jersey Appellate Division Declares Nondisparagement Provisions Valid Under State Law

In a decision that may be useful to employers drafting severance and litigation settlement agreements in New Jersey, a panel of the New Jersey Appellate Division found that provisions requiring parties not to disparage one...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

California Prohibits Most “No Rehire” Provisions in Settlement Agreements

Employment litigation settlement agreements often include a mutually negotiated “no-rehire” provision by which the departing employee agrees not to seek employment with the company in the future. A recently enacted California...more

Stinson - Corporate & Securities Law Blog

Does a Requirement to Pay “Target Variable Compensation” Include Equity Awards?

In Batty v. UCAR International Inc. et al the Delaware Court of Chancery considered the terms of a severance agreement. The agreement, which was entered into in 2000, set the compensation that plaintiff Batty, who was...more

Nutter McClennen & Fish LLP

Forum Selection Provision Does Not Render Arbitration Provision Ambiguous, Judge Sanders Rules

In McCarthy v. Genesee & Wyoming Railroad Services, an employee brought a lawsuit against his former employer, alleging that the employer breached the parties’ contract by failing to pay the employee severance benefits. The...more

Akerman LLP - HR Defense

Conditioning Severance on Post Employment Obligations: Tricky Business

Employers often want to be sure that departing employees won’t disclose confidential business information or make disparaging remarks about the company, and therefore include such obligations in severance agreements. But...more

Hogan Lovells

District Court Case Highlights Advantages of ERISA Severance Plans

Hogan Lovells on

Specialists have long touted certain significant advantages to employers that come along with maintaining ERISA severance plans, and a recent district court case highlights some of these advantages....more

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