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New Jersey Bans Non-Disclosure Agreements in Discrimination and Harassment Settlements

New Jersey Bans Non-Disclosure Agreements in Discrimination and Harassment Settlements

Author: Robert E. LevyDate: April 23, 2019

On March 18, 2019, New Jersey Gov. Phil Murphy signed legislation into law that prohibits mandatory non-disclosure clauses in settlement agreements involving workplace discrimination, harassment, and retaliation claims. The new law became effective upon signing and applies to all contracts and agreements entered into, renewed, modified, or amended on or after March 19, 2019.

New Jersey’s latest employment law, Senate Bill 121, prohibits any provision in any “employment contract or settlement agreement which has the purpose or effect of concealing the details relating to a claim of discrimination, retaliation or harassment.” It also bars provisions in employment contracts that waive rights or remedies.

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