News & Analysis as of

Employer Liability Issues Contract Terms Employment Contract

Ervin Cohen & Jessup LLP

Surprise! Misleading Statements and Time Pressure May Render an Employer’s Arbitration Agreement Unenforceable

Employers have long been scrutinized for perceived unequal bargaining power when it comes to enforcement of company-drafted arbitration agreements. Indeed, both the California legislature and the courts have aimed to protect...more

Dickinson Wright

Start the Clock—The Case for Including Contractual Limitations Periods in Employment Agreements.

Dickinson Wright on

Contractual limitations periods provide parties on both sides of an agreement certainty regarding the filing of a potential action. But many employers do not know that they may include such contractual limitations periods in...more

Williams Mullen

New Amendment Further Restricts Non-Competes in Virginia

Williams Mullen on

Beginning on July 1, 2025, Virginia’s existing non-compete statute, Va. Code § 40.1-28.7:8, will be expanded to prohibit post-employment non-compete agreements and certain non-solicitation covenants with any non-exempt...more

Jenner & Block

Delaware Supreme Court Reaffirms Reluctance to Blue-Pencil Overbroad Restrictive Covenants in Sunder v. Jackson

Jenner & Block on

The Delaware Supreme Court’s decision in Sunder Energy, LLV v. Jackson, No. 455, 2023, 2024 Del. LEXIS 407 (December 10, 2024) reaffirmed the courts’ limited willingness to modify or “blue-pencil” overbroad restrictive...more

Haynsworth Sinkler Boyd, P.A.

Beyond Silence: South Carolina Supreme Court Ruling Clarifies Acceptance in Employment Arbitration Agreements

In Lampo v. Amedisys Holding, LLC and Leisa Victoria Neasbitt, the South Carolina Supreme Court establishes important legal precedent regarding contract formation for arbitration agreements between employers and employees....more

Holland & Hart - Employers' Lawyers

Wyoming Legislature Takes a Bite Out of Covenants Not to Compete

Brad Cave by Brad Cave Governor Gordon signed a bill this week to significantly narrow the enforceability of covenants not to compete under Wyoming law.  While the new law leaves Wyoming businesses with a few options to...more

Sheppard Mullin Richter & Hampton LLP

New York Legislature’s Proposed Amendments Would Impact Employment Agreements

Two bills recently introduced in New York’s legislature could have a major impact on New York employers seeking to enter into employment-related agreements with employees. Invalidating “Unconscionable” Contract Terms - ...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

Littler

The Sixth Circuit Rules on Arbitration Clause Enforcement

Littler on

The U.S. Court of Appeals for the Sixth Circuit has ruled that an arbitration provision in a plaintiff’s employment contract is binding and enforceable, even if the employer did not explain the provision or recommend the...more

Hendershot Cowart P.C.

Legal Alternatives to Breaking a Non-Compete Agreement in Texas

Hendershot Cowart P.C. on

Many employees feel trapped by non-compete agreements, but there are legal ways to handle these restrictive employment agreements. Before risking legal action by breaking your agreement, consider these alternatives....more

Mintz - Employment Viewpoints

Sooner the Better: Employers in Canada Should Really Review Their Termination of Employment Clauses

A recent Ontario Court of Appeal (“ONCA”) decision signals a pressing need for Canadian employers to review and consider updating their contractual termination of employment provisions. Otherwise, employers are at risk of...more

Seyfarth Shaw LLP

New York Employers Beware: Claimant Must Sign Confidentiality Preference Acknowledgement for Employer to Enforce Entire Settlement...

Seyfarth Shaw LLP on

On January 8, 2025, a New York federal court held that an employee’s refusal to sign a confidentiality and non-disparagement acknowledgement form that was part of a settlement agreement rendered the entire settlement...more

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

Ontario Court Reaffirms Importance of Clear and Compliant Language in Employment Agreements

In December 2024, the Court of Appeal for Ontario released its highly anticipated decision in Dufault v. Ignace (Township). The three-judge panel determined that the “for cause” termination clause contained in the employee’s...more

Seyfarth Shaw LLP

2024 Trade Secrets Webinar Series Recap: Key Takeaways and Access to Recordings

Seyfarth Shaw LLP on

In 2024, Seyfarth’s Trade Secrets, Computer Fraud & Non-Compete practice group presented a series of dynamic and insightful CLE webinars, addressing pivotal challenges confronting businesses head-on. ...more

BCLP

Key Changes to New York Employment Law in 2024 and What to Expect in 2025

BCLP on

Every new year brings changes to the employment laws applicable to New York State and New York City employers. In this article, we review the key employment laws that went into effect in 2024 and highlight some of the new and...more

Morris James LLP

Delaware Supreme Court Upholds Court of Chancery’s Refusal to Blue Pencil an Unreasonable Covenant Not to Compete

Morris James LLP on

In Sunder Energy v. Jackson, No. 455, 2023 (Del. Supr., December 10, 2024), the Delaware Supreme Court upheld the Delaware Court of Chancery’s decision not to enjoin a former employer and member of a Delaware LLC from...more

CDF Labor Law LLP

Good News for Employers: California Enforces Arbitration Agreement In Favor of Non-Signatory Related Entities

CDF Labor Law LLP on

Frequently, employment arbitration agreements are written with the intent to apply to future disputes between an employee, the employer and the employer’s parent and sister companies....more

Seyfarth Shaw LLP

Arbitration Agreement Enforceable By Non-Signatory Alleged Joint-Employers

Seyfarth Shaw LLP on

Employees who sign an arbitration agreement with one company cannot avoid arbitration with related defendant-companies by arguing they were not parties to the agreement. The California Court of Appeal held that claims against...more

Lewitt Hackman

Beyond the Contract: Non-Signatories to an Arbitration Agreement Can Compel Arbitration

Lewitt Hackman on

Departing from the ruling in Soltero v. Precise Distribution earlier this year, the California Court of Appeal in the Second District in Gonzalez v. Nowhere Beverly Hills LLC, created a split of authority regarding an alleged...more

BakerHostetler

Adding Injury to Insult: The NLRB’S General Counsel Lays Out Expanded Remedies For Unlawful Noncompete and Stay-or-Pay Agreements

BakerHostetler on

We previously reported on a May 2023 memorandum issued by the general counsel of the National Labor Relations Board (NLRB or Board), Jennifer A. Abruzzo, stating her view that “the proffer, maintenance, and enforcement” of...more

Littler

Ontario, Canada Court Reinforces Waksdale’s Impact on Enforceability of Termination Provisions and Provides Guidance on Proving...

Littler on

In De Castro v. Arista Homes Limited, 2024 ONSC 1035, Ontario’s Superior Court of Justice (Court) held the termination provision in an employment contract was unenforceable because it defined “cause” more broadly than does...more

Morgan Lewis

NLRB General Counsel Expands Crackdown on Non-Competes with New Focus on ‘Stay-or-Pay’ Agreements

Morgan Lewis on

National Labor Relations Board (NLRB) General Counsel Jennifer Abruzzo released GC Memo 25-01 on October 7, 2024 further urging the Board to find non-compete agreements, particularly “stay-or-pay” practices, unlawful and...more

Hinshaw & Culbertson - Employment Law...

Impact for Employers: The NLRB General Counsel Doubles Down on Restrictive Covenants and Stay-or-Pay Provisions

The General Counsel of the National Labor Relations Board ("NLRB") issued Memorandum GC 25-01 on October 7, 2024, which establishes her intent to "urge the Board not only to find certain non-compete provisions unlawful, but...more

Brooks Pierce

NLRB General Counsel Doubles-Down on Non-Compete Agreement—and Takes Aim at “Stay-or-Pay” Provisions

Brooks Pierce on

On October 7, 2024, the General Counsel for the National Labor Relations Board (“NLRB”) issued a memorandum offering her perspective on damages employers may face when enforcing allegedly unlawful non-compete agreements, and...more

Parker Poe Adams & Bernstein LLP

NLRB Memo Outlines Stricter Enforcement of Noncompetes and 'Stay-or-Pay' Provisions

The National Labor Relations Board (NLRB) General Counsel Jennifer Abruzzo issued a memorandum this week titled "Remedying the Harmful Effects of Non-Compete and 'Stay-or-Pay' Provisions that Violate the National Labor...more

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