In a 7-0 decision yesterday, the California Supreme Court held that a noncompetition agreement signed by a former Arthur Andersen CPA was invalid under California law. In Edwards v. Arthur Andersen LLP, the court reminded us that noncompetition agreements are invalid under California’s Business and Professions Code section 16600, even if they are written narrowly enough not to
New Study Suggests Defendants Should Try More Cases
According to a recent study, plaintiffs in civil lawsuits should be more willing to settle their cases, and perhaps defendants should stick to their guns and take more cases to trial.
The study (as reported in this New York Times article), concludes that when plaintiffs reject the defendant’s settlement offer and go to trial, they end up with a
Oregon Supreme Court: Corporate Directors Not Employees
The Oregon Supreme Court recently ruled that a corporation’s board of directors are not employees, and therefore not subject to Oregon’s unemployment tax. In Necanicum Investment Co. v. Oregon Employment Department, the Supreme Court reversed a 2007 Oregon Court of Appeals decision that had held unemployment tax should be assessed on the fees paid
Oregon Court of Appeals Rules Obesity Surgery Covered by Workers’ Compensation
In SAIF Corp. v. Sprague, the Oregon Court of Appeals ruled earlier this week that an obese employee’s gastric bypass surgery was coverd by workers’ compensation. For the full opinion, click here.
The employee in Sprague suffered an on-the-job knee injury in in 1976. He weighed 225 pounds at the time of the injury.
New DOT Regulation Requires Expanded Observed Urination in Drug Testing
Effective August 25, 2008, the Department of Transportation will require transportation workers who previously tested positive for prohibited drugs to give urine specimens while being watched by specimen collectors. The new regulations will apply to workers in safety-sensitive positions in the aviation, motor carrier, rail, transit, maritime, and pipeline industries.
Under current regulations, only workers suspected
EEOC Updates Compliance Manual on Religious Discrimination
Earlier this month, the Equal Employment Opportunity Commission (EEOC) updated its compliance manual on religious discrimination. This update is timely: according to EEOC statistics, there were 2,880 religious discrimination charges filed with the EEOC in 2007, up nearly 12% from 2006. Want more guidance? The EEOC also has this handy Q&A sheet on
NLRB Issues New Guidelines on Employee Political Activity
You have an employee who is using the breakroom as his bully pulpit, discussing his political views with his coworkers. Some coworkers complain to you that they don’t want to hear it, so you call the employee in to your office and tell him to keep his views and opinions to himself. A no-brainer, right?
Federal Minimum Wage Rates Increase to $6.55/hour
Effective today, July 24, the Federal Minimum Wage increases to $6.55 hour. This is the second of three increases provided for by the enactment of the Fair Minimum Wage Act of 2007. A third minimum wage increase to $7.25 per hour becomes effective on July 24, 2009.
This increase does not affect most Western states,
Is There A Right Way To Fire Someone?
We all know that times are tough and layoffs and terminations are on the rise. The New York Times online edition is currently running a very interesting reader’s forum on whether there is a right way to fire someone. (Of course, most of us know there are many wrong ways – a lesson some of
Jail Time For Washington Employer
As part of a plea agreement reached earlier this month, Jerry and James Schram, co-owners of a Vancouver, Washington construction company, will serve 30 days of jail time and perform community service. Their crime? Hiding information in an attempt to reduce their workers’ compensation premiums. In addition, the Schrams also pleaded guilty to misdemeanors