Archive for employment agreements

California Bans “Stay-or-Pay” Employment Agreements

California’s hostility to non-compete agreements is well known among employers and employees.  But now, with Governor Newsom signing AB 692, California has gone even further – now banning most “stay-or-pay” agreements that are signed on or after January 1, 2026. A “stay-or-pay” agreement requires an employee to pay the…

Note to Employers: Craft Your Arbitration Agreements Carefully

A recent Court of Appeal decision underscores the importance of reviewing severability provisions in arbitration agreements. In Kec V. Superior Court, Plaintiff Nichole Kec brought individual, class, and Private Attorneys General Act (“PAGA”) claims against her former employer, defendants R.J. Reynolds Tobacco Company and Reynolds American, Inc. (“Reynolds”),…