News & Analysis as of

Employer Liability Issues Employment Litigation Contract Terms

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

Amundsen Davis LLC

Actual vs. Apparent Authority: Limiting Business Liability From Unauthorized Employee Actions

Amundsen Davis LLC on

As a business grows and adds new members to the team, it can be difficult to identify what role each person plays and their level of authority. While some have the ability to make important decisions on behalf of the...more

Epstein Becker & Green

Time is Money: A Quick Wage and Hour Tip . . . Contractual Indemnification May Not Guard Against FLSA Claims

The complex web of federal and state wage and hour laws create potentially devastating risk of exposure for employers....more

Pietragallo Gordon Alfano Bosick & Raspanti,...

NJ Expands Wage Law to Cover Commissions – How It Compares to PA

The New Jersey Supreme Court recently ruled that commissions are considered “wages” under New Jersey’s Wage Payment Law (“NJWPL”). This decision—which allows employees whose commissions are not timely paid to recover 200% of...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

Venable LLP

A Subcontractor's Employee Says the Government Customer Engaged in Harassment and Retaliation. Why Did the Prime Contractor Get...

Venable LLP on

Federal programs often require individuals employed by multiple corporations and by the federal government to work together. To ensure the project is successful, the prime contract and any related subcontract will often grant...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

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

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

Mayer Brown

Hong Kong Court Clarifies the Application of Implied Terms in Employment Contracts

Mayer Brown on

The recent case of Yang Zhizhong v. Nomura International (Hong Kong) Limited helpfully clarifies the applicability of Implied Term of Trust and Confidence, the Braganza duty and the Anti-avoidance Term in the context of...more

A&O Shearman

Tesco Express and implied terms put paid to firing and rehiring

A&O Shearman on

The UK Supreme Court interprets contractual provisions, and implies a term, to find in favour of a group of Tesco employees who argued that the supermarket chain was not entitled to fire and rehire them on less advantageous...more

Seyfarth Shaw LLP

Navigating employee relations: The advisor’s role (Part 4)

Seyfarth Shaw LLP on

In recent months, I’ve spoken to many HR professionals about all things employee relations or “ER.” What stood out was the challenging nature of the role of those in ER. ...more

Sheppard Mullin Richter & Hampton LLP

California Court of Appeal Rules That Partial Sale of Business Can Bind Seller-Owner to a Noncompetition Agreement

In Samuelian v. Life Generations Healthcare, LLC, — Cal. App. 5th —, 2024 WL 3878448 (Cal. App. Aug. 20, 2024), the California Court of Appeal answered two long outstanding questions of California law concerning the...more

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

California Appellate Decision Raises New Considerations for Arbitration Agreements

A California appellate court recently denied a motion to compel arbitration, finding the agreement unconscionable in part because it (1) applied to all claims rather than just those arising from employment, (2) was unlimited...more

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