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Employment Contracts

Use contractual limitations to protect company and managers

09/01/2007

Michigan courts have generally upheld as valid and enforceable provisions within an employment application or employment contract that place time limits on when employees can sue their employers. Thus, while the statute of limitations for filing a claim of discrimination under Michigan’s Elliott-Larsen Civil Rights Act is three years, a Michigan court has upheld contractual provisions providing for a shortened limitations period of six months …

Without clause, employers can’t escape paying full wages

09/01/2007

When it comes to employment contracts, it’s wise to include an escape clause. Here’s why: If you don’t specify that you can terminate the contract early and then find yourself having to eliminate the employee, you may have to pay that employee the full amount he or she would have earned working the entire term of the contract …

Noncompete clause must be very specific or it may be invalid

09/01/2007

Employers who want to preserve their competitive advantage often require employees or contractors to sign noncompete agreements. But Georgia agreements must be very specific, detailing exactly what type of employment is prohibited. If the agreement is too broad, a judge may toss it out …

Do workers read policy changes? Collect proof the right way

09/01/2007

Suppose your organization decides to alter its retirement plan. You shoot out an e-mail about the change, but fail to secure written proof that employees have read and understand the modifications. Three months later, an employee retires based on promises made in the old retirement plan, resulting in lost pension dollars. He sues, saying he never got wind of the retirement-plan change. This true story occurs surprisingly often in U.S. workplaces …

The elements of a valid noncompete agreement

09/01/2007

Q. What standards must Pennsylvania employers follow when drafting noncompete agreements? …

Employee or independent contractor? For workers’ comp, commission is last word

08/01/2007

Independent contractors aren’t eligible for workers’ compensation benefits paid by their contractor’s insurer, but employees are …

How to craft noncompete agreements

08/01/2007

Q. What can I do to avoid unauthorized disclosure of sensitive company information when an employee departs? …

He’s not your employee! Don’t meddle with contracted service workers

07/20/2007
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Arbitration covers claims for unpaid bonus and severance

07/01/2007

The California Court of Appeal recently ruled that binding arbitration mandated by an arbitration agreement could determine a former employee’s wage claims for an unpaid profit-sharing bonus and severance pay …

River Vale to pay $75,000 for mayor’s conduct

07/01/2007

The township of River Vale settled a lawsuit with Police Chief Aaron Back over harassment by former Mayor George Paschalis. Back testified that Paschalis repeatedly threatened to fire him …