New Jersey Employment Lawyer Blog
Today, the New Jersey Supreme Court ruled that the New Jersey Law Against Discrimination (“LAD”) prohibits non-disparagement agreements that have the impact of preventing an employee from discussing the facts of their discrimination, harassment or retaliation claim.
Non-disparagement clauses are very common in settlement agreements in employment law cases. Typically, they prevent the employee from saying anything negative about their former employer.
The case interpreted a 2019 amendment to the LAD that was passed in response to the #MeToo movement. Specifically, the legislature amended the LAD to deem that any provision in a settlement agreement that “has the purpose or effect of concealing the details relating to a claim of discrimination, retaliation, or harassment . . . shall be deemed against public policy and unenforceable.”