In December, the President signed the Speak Out Act into law. The law is intended to ensure that employees are not barred from filing a claim and/or speaking out with respect to sexual assault or sexual harassment by virtue of a non-disclosure or non-disparagement agreement previously signed with their employer.
Business Takeaway: Practically speaking, businesses may need to revise such “pre-dispute” provisions moving forward, adding specific carveouts consistent with the new law. Businesses must also recognize that existing non-disclosure and non-disparagement clauses may, by virtue of the new law, be unenforceable in certain respects. Contact us if you wish to revisit your current non-disparagement or nondisclosure language.