New California requirements for employment separation agreements

(A) It is an unlawful employment practice for an employer or former employer to include in any agreement related to an employee’s separation from employment any provision that prohibits the disclosure of information about unlawful acts in the workplace. (B) A nondisparagement or other contractual provision that restricts an employee’s ability to disclose information related to conditions […]

Whistleblower retaliation

Erhart v. BOFI HOLDING, INC., Dist. Court, SD California 2022 Sarbanes-Oxley’s whistleblower retaliation provision provides a company may not “discharge, demote, suspend, threaten, harass, or in any other manner discriminate against an employee in the terms and conditions of employment because of” protected activity. 18 U.S.C. § 1514A(a). As the statute indicates, the retaliation that […]

Damages under the California Fair Employment and Housing Act

A successful plaintiff under FEHA may recover the following: back pay (also referred to as back wages or lost earnings) (see Govt C §12965(c). Commodore Home Sys., Inc. v Superior Court (1982) 32 C3d 211.); front pay (or lost future earnings) to offset future pecuniary losses until he or she finds appropriate new employment; actual and general compensatory damages, including […]

Employee benefit plans – Rule 701

Per the SEC Rule 701 exempts certain sales of securities made to compensate employees, consultants and advisors. This exemption is not available to Exchange Act reporting companies. A company can sell at least $1 million of securities under this exemption, regardless of its size. A company can sell even more if it satisfies certain formulas based on […]

FMLA retaliation (Colorado)

To state a prima facie case of FMLA retaliation (circumstantial), an employee must show that: (1) he engaged in a protected activity [taking FMLA leave]; (2) the employer took an action that a reasonable employee would have found materially adverse; and (3) there exists a causal connection between the protected activity and the adverse action. […]

Retaliation for opposing discrimination

Title VII and the FEHA prohibit employers from retaliating against employees for engaging in certain protected activities. See 42 U.S.C. §§ 2000e-2(a), 2000e-3. Title VII claims are governed by the burden-shifting framework established in McDonnell Douglas Corp. v. Green, 411 U.S. 792, 802 (1973). Under this framework, the plaintiff bears the initial burden of demonstrating […]

Financial whistle-blowing

The Securities Exchange Act of 1934 (as amended by the Dodd Frank Act), 15 U.S. Code §78u-6: Securities whistleblower incentives and protection…(h) Protection of whistleblowers (1) Prohibition against retaliation (A) In general No employer may discharge, demote, suspend, threaten, harass, directly or indirectly, or in any other manner discriminate against, a whistleblower in the terms […]

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