Does the ‘No-Rehire’ Provision in Your Settlement Agreement Restrain the Lawful Practice of a Profession?
A recent 9th Circuit Court of Appeals decision suggests that in certain circumstances overly broad language in a no-rehire provision may violate California law (namely, section 16600 of California’s Business and Professions Code) as a contract restraining the lawful practice of a profession, writes Daniel J. Kanter of Ogletree Deakins and published on Lexology.com.
“When resolving an employment dispute, employers often wish to include a ‘no-rehire’ provision in the settlement agreement,” he writes. “In a typical no-rehire clause, the parties agree that they wish to resolve their dispute and sever any relationship they may have now or in the future. The employee agrees that his employment has ended and promises not to seek reemployment with the company. Further, if the employee obtains reemployment with the company or any related entity, the employee agrees that his or her employment may be terminated immediately without any legal recourse.”
The article discusses the ruling and offers some key take-away conclusions.
Kane Russell Coleman & Logan
China-based employers are required to have written employment contracts with all full-time employees, and if those contracts are not in place, the employer could be on the hook for double wages, reports Dan Harris on
Hatmaker Law Group will present a complimentary webinar designed to help participants avoid claims arising from allegations that a business facility is not compliant under the American with Disabilities Act.
Employers in the health care industry often subcontract labor through outside vendors to fill positions like travel nurses, security guards, and janitors. But outside contractors may not be in compliance with federal and state employment laws, including wage-and-hour laws, points out a white paper published by Fisher & Phillips.
Hatmaker Law Group will present a complimentary one-hour webinar on the latest developments this year in labor and employment law, including updating your employee handbook and preparing for new legislation going into effect on July 1, 2015.
Many employers think they understand employment laws like the Fair Labor Standards Act, 29 U.S.C. §201, et seq. (FLSA), only to find out – after costly litigation – that they were just plain wrong.