News & Analysis as of

Unenforceable Contract Terms Appeals Employment Litigation

Jenner & Block

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

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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

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

Littler

Ontario, Canada Appeal Court Decides Non-competition Clause in Employment Agreement Governed by Common Law is Unenforceable

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In M & P Drug Mart Inc. v. Norton, 2022 ONCA 398, the Court of Appeal for Ontario (OCA) dismissed an employer’s appeal of an application judge’s decision that a non-competition clause in an employment agreement governed by...more

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

Wyoming Supreme Court Eliminates the Blue Pencil Rule for Noncompete Agreements

On February 25, 2022, the Wyoming Supreme Court issued a decision prohibiting courts from revising, or “blue penciling,” noncompete agreements to be reasonable and enforceable under the law. The decision overrules the Wyoming...more

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

Colorado Supreme Court Holds ‘Use-It-Or-Lose-It’ Vacation Policies Are Void in Nieto v. Clark’s Market

On June 14, 2021, the Colorado Supreme Court provided an answer to the long-standing question of whether “use-it-or-lose-it” vacation policies are permissible under the Colorado Wage Claim Act (CWCA). In the case of Nieto v....more

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

Eleventh Circuit Limits Reach of Arbitration Agreements, Finds “Pay Your Own Fees” Clause Unenforceable

On November 22, 2019, the United States Court of Appeals for the Eleventh Circuit, the court with jurisdiction over Alabama, Florida, and Georgia, handed down a decision that invalidates certain provisions in arbitration...more

Holland & Knight LLP

Ninth Circuit Decisions Overrule 35-Year Precedent in ERISA Arbitration Disputes

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In a pair of opinions issued on Aug. 20, 2019, the U.S. Court of Appeals for the Ninth Circuit expressly overruled its 35-year precedent that Employee Retirement Income Security Act (ERISA) disputes were not arbitrable. The...more

Littler

UK Supreme Court Revises Test for Evaluating Post-termination Restrictions

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To much fanfare and the great excitement of many employment lawyers, the UK Supreme Court recently delivered its first judgment on employment post-termination restrictions for a century, in Tillman v. Egon Zehnder. The court...more

Fisher Phillips

The See-Saw World of Uber’s Arbitration Agreement Again Tips In Uber’s Favor

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Ever since Uber became part of our everyday world, the mandatory arbitration agreement it requires its independent contractor drivers to sign has been under constant scrutiny—and attack. A recent decision, however, fell in...more

Genova Burns LLC

New Jersey Appellate Division Invalidates Jenny Craig Employee Arbitration Provision

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This week, in Marilyn Flanzman v. Jenny Craig Inc. et al., No. A-2580-17, a panel of the Appellate Division found that an arbitration provision between weight loss company Jenny Craig and a former employee was unenforceable...more

FordHarrison

Non-Compete News: In Georgia, Whether It Is a Non-Compete or a Non-Solicit Makes All the Difference

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Georgia’s Restrictive Covenants Act (the “RCA”) became effective in May 2011, but it took nearly six years before a court published a decision interpreting the statute in the context of a non-competition provision....more

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

Kentucky Supreme Court Rules FAA Does Not Protect Mandatory Employment Arbitration

In a surprise decision, the Supreme Court of Kentucky ruled on September 27, 2018, that the Federal Arbitration Act (FAA) does not protect employment arbitration agreements that are required as a condition of employment....more

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