The Bottom Line Prospective customers (not just existing customers) may pursue claims against New York employers arising from an employee's misconduct under the doctrine of negligent supervision and retention. But the facts must still show that the employer owed a duty to the prospective customer Continue Reading
What’s the Harm? Second Circuit Requires Proof of Irreparable Harm to Enjoin Restrictive Covenant Violations
The Bottom Line Federal district courts in the Second circuit will not presume that a company will suffer irreparable harm for a restrictive covenant violation. Parties should not rely on contractual stipulations alone to establish irreparable harm.A party seeking a court injunction for the Continue Reading
U.S. Department of Labor Proposes New Rule on Independent Contractor Status
The Bottom Line The U.S. Department of Labor has proposed a new rule addressing the distinction between employees and independent contractors under the Fair Labor Standards Act.If adopted, it will replace the rule announced by the DOL in January 2021 and will be more focused on the “totality of Continue Reading
Washington, D.C. Rolls Back Proposed Ban on Non-Compete Agreements
The Bottom Line Washington, D.C.’s amended law banning non-compete agreements contains an exception for highly compensated employees and no longer outright bans anti-moonlighting provisions in all instances. Employers should be mindful of the total annual compensation awarded to employees in Continue Reading