News & Analysis as of

Good Faith

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

Supreme Court of California Rules Employers Can’t Claim Ignorance on State Wage Violations

On August 21, 2025, the Supreme Court of California ruled that employers must demonstrate that they took reasonable steps to comply with minimum wage laws to mount a good-faith defense against liquidated damages. The decision...more

Quarles & Brady LLP

Med Spa Compliance Series: Area of Focus – Good Faith Examination

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As individuals across the country become increasingly focused on their health and wellness, the 20-billion-dollar med spa industry continues to grow. Patients are now visiting their med spa more than their primary care...more

Quinn Emanuel

The White Collar Appeal: Seventh Circuit Holds Spoofing is Fraud

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“Spoofing,” or the practice of submitting buy or sell orders to trading platforms with the intent to withdraw them prior to execution, is considered fraud under the Seventh Circuit’s decision in United States v. Smith, issued...more

Seyfarth Shaw LLP

Minimum Wage Good Faith Defense and Labor Commissioner Appeal Scope

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The California Supreme Court held that an employer must prove that it made a reasonable attempt to decipher the requirements of the law governing minimum wages in order to avail itself of the good faith defense against...more

Fox Rothschild LLP

A Simple Payment Error is not a Waiver of the Right to Arbitrate

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I have some good news for California employers seeking to enforce arbitration agreements. The California Supreme Court just held that non-payment of arbitration fees does not automatically waive the right to arbitrate....more

Miles Mediation & Arbitration

Expect the Unexpected: A Look at the Two Ingredients of a Successful Mediation

A little over two hours into the mediation and most of the pots and pans had been divided. Even child support, as meager as it was, was agreed upon. The wife was keeping the single-wide mobile home, and the husband got to...more

Constangy, Brooks, Smith & Prophete, LLP

Christian teacher gets jury trial in name, pronoun case

Divine intervention? John Kluge, a high school orchestra teacher in the Indianapolis area, was let go in 2018 after he refused to address transgender students by their preferred names and pronouns. Mr. Kluge, a Christian...more

Brooks Pierce

Fourth Circuit Affirms Multi-Million Dollar Decision, Underscoring Risks in Worker Misclassification

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Many businesses rely on independent contractors to stay flexible, control costs, and meet fluctuating demand, but misclassifying those workers can carry massive financial consequences. On July 17, 2025, the Fourth Circuit...more

Nelson Mullins Riley & Scarborough LLP

Fourth Circuit Affirms Discharge of Debt in Martin v. Parker, Clarifies Embezzlement Standard under Section 523(a)(4)

Background - The case arose from a longstanding family arrangement involving reciprocal wills and a “Post Marital Agreement” between Morton Poindexter and his longtime partner, Peggy Martin. Their Agreement provided that,...more

Whiteford

The Fiduciary Duties of an Executor of An Estate in Virginia

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Executors and administrators of estates in Virginia must swear an oath before the probate clerk that they will “faithfully perform the duties of [their] office to the best of [their] judgment.” These duties are called...more

Alston & Bird

Exit Means Exit: Lessons in Directors’ Duties, Unfair Prejudice, and Good-Faith Obligations Under English Law

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Our Financial Services Litigation Group examines an English Court of Appeal decision that highlights the need for company directors to fully understand and abide by the exit provisions in their shareholders’ agreements under...more

A&O Shearman

All aboard the Good Faith Express, but mind the causation gap

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In Matière v ABM, the court found that there was an express obligation of good faith in a number of contracts concerning a joint venture for a subcontracting role in the construction of the HS2 railway. However, it concluded...more

Goodwin

“‘They Will Thank Me in the Long Run’”: Court of Appeal Considers Good Faith Obligations and Fiduciary Duties of Directors in...

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The English Court of Appeal’s recent decision in Saxon Woods Investments Limited v. Francesco Costa ([2025] EWCA Civ 708) provides clarification on the application of directors’ fiduciary duties and the interpretation of good...more

Bennett Jones LLP

Annulment Clauses and Good Faith

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The Ontario Superior Court of Justice has recently reaffirmed the importance of good faith—or the lack thereof—and reasonableness in real estate transactions, particularly when disputes arise over title defects, third-party...more

Jones Day

Disappointed Bidder in Bankruptcy Asset Sales Waived Argument that Buyers Did Not Act in Good Faith by First Raising It on Appeal

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The finality of asset sales in bankruptcy is an indispensable feature of U.S. bankruptcy law designed to maximize the value of a bankruptcy estate as expeditiously as possible for the benefit of all stakeholders. To promote...more

King & Spalding

S.D.N.Y. Reiterates that the Implied Covenant of Good Faith and Fair Dealing May Not Create Obligations Inconsistent with Parties’...

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On March 25, 2025, the U.S. District Court for the Southern District of New York denied a motion to dismiss a lender’s claims for declaratory judgment and other relief under an intercreditor agreement (“ICA”), rejecting the...more

Farella Braun + Martel LLP

Trademark Applications Filed on an Intent-To-Use Basis Can Be Vulnerable To Challenge

In filing to register a trademark on an “intent-to-use” basis, the applicant must verify that it has a good faith “bona fide intention to use the mark in commerce.” 15 U.S.C. § 1051(b). Assuming there is nothing on the face...more

Stikeman Elliott LLP

Asbestos: To Remove or Not to Remove – Is That the Question?

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The Alberta Court of King’s Bench provides clarification on both the interpretation and application of the Occupational Health and Safety Act regarding asbestos as well as the duties of landlords and tenants to carry out...more

Rumberger | Kirk

Legislative Alert: Florida’s HB 1551 and SB 554 Raise Concerns for Insurance Carriers

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It is no secret that insurance rates in the state of Florida have skyrocketed over the past several years. One of the catalysts to the increased rates was Florida’s attorney fee statute, which had the effect of incentivizing...more

Charles E. Rounds, Jr. - Suffolk University...

May a Mentally Incapacitated Trustee Be Held Personally Liable for His Breaches of Trust?

Assume sole trustee of an irrevocable discretionary trust for benefit of deceased settlor’s descendants living from time to time suffers a sudden unforeseen mental disability that causes trustee to imprudently administer the...more

Miller Canfield

Michigan Supreme Court Confirms: No Independent Cause of Action for Breach of Implied Covenant of Good Faith

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Sometimes an expected result is still newsworthy. On March 27, 2025, in Kircher v Boyne USA, Inc., the Michigan Supreme Court held that there is no independent cause of action for breach of the implied covenant of good faith...more

Farella Braun + Martel LLP

Navigating Recent Changes to California Wage and Hour Laws

The recent changes to California’s wage and hour laws have significant implications for employers operating within the state. While the reforms are aimed at providing clearer guidelines for employers, there are still complex...more

Jones Day

UK Court of Appeal Provides Guidance on Interim Licenses in Latest FRAND Dispute

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The United Kingdom's Court of Appeal has issued an important decision on the principles governing the grant of interim licenses in standard essential patent ("SEP") disputes....more

Bracewell LLP

The CFTC’s New Advisory on Self-Reporting, Cooperation and Remediation

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In an advisory announced February 25, 2025, the Division of Enforcement of the Commodity Futures Trading Commission (CFTC or Commission) announced a new regime for assessing cooperation credit in determining fines in the...more

Ius Laboris

Watching Sports at Work: How Employers Can Avoid an Own Goal

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2025, like most years, will be dominated by prominent sporting events. But with many of these sporting events likely to take place during working hours, and some employees hoping to watch-along live, we explore the lessons...more

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