Can Inclusion Of A Boilerplate Duty Of Loyalty Provision Invalidate Your Covenant Not To Compete?

The Early v. MiMedx Decision

On February 10, 2015, the Georgia Court of Appeals held in Early v. MiMedx Grp, Inc., that a provision in a consulting agreement requiring an employee to devote her full working time to the performance of her duties for the employer was not a loyalty clause but, instead, constituted an illegal restraint on trade. In and of itself, the decision in Early is interesting and will undoubtedly affect how employers draft their duty of loyalty provisions.

NLRB Postpones Effective Date of “Employee Rights” Posting Requirement

The National Labor Relations Board announced on October 5, 2011, the decision to postpone until January 31, 2012 the effective date of its recently published rule requiring employers to post notices informing employees of their rights under the National Labor Relations Act.  The NLRB finalized its new notice-posting requirement in August and at that time announced that the rule would take effect on November 14, 2011.  However, federal lawsuits were filed challenging the rule and prompting many questions and uncertainty from employers across the nation.  To learn more about the rule, please

Social Media and the National Labor Relations Act:  A Trap for Unwary Employers

The use of social media has become one of the most rapidly-changing areas in employment law today.  What most employers do not realize is that the National Labor Relations Board has become very active in policing both the substance of social media policies and the actions of employers in addressing social media concerns.  Please click here to read an overview of NLRB activity in the area of employee use of social media published by the Labor & Employment and Internet & New Media Client Service Groups on

Updated Claim Procedure Requirements for Non-Grandfathered Health Plans

The Internal Revenue Service, Department of Health and Human Services and Department of Labor have revised the interim final regulations governing internal claims and appeals and external reviews for non-grandfathered group health plans under the 2010 health reform law.  The have also revised the forms for adverse benefit determinations and updated the list of state consumer assistance programs.  Many of the changes ease the burden of plan administration.  To learn more, please click here to read the Alert published by the Employee Benefits & Executive Compensation Client Service Group on July

The Implications for FCPA Enforcement of the SEC’s New Whistleblower Rules

The SEC’s recent adoption of rules to implement the whistleblower program mandated by the Dodd-Frank Act has particular significance for enforcement of the Foreign Corrupt Practices Act.  For a discussion of the overall SEC enforcement context for the new whistleblower rules, a summary of the rules,  and a discussion of the key issues for FCPA enforcement, including recommendations that companies should take now, please click here to read the Alert published by the Global Anti-Corruption Team of the Securities Litigation and Enforcement  and International Trade Groups on June

On May 11, 2011, Georgia Governor Nathan Deal signed House Bill 30 into law, ushering in a new era for non-competition agreements (non-competes), non-disclosure agreements (NDAs), and non-solicitation covenants under Georgia law.  Historically, Georgia courts have not been friendly to such agreements and have made enforceability unclear.  The new statute clarifies and strengthens the ability of parties to restrict conduct during and after employment or a deal.  Perhaps most importantly, the law expressly authorizes courts to cure or “blue pencil” such agreements signed on or after May 11, 2011.  Under the previous regime, one faulty provision generally invalidated an entire restrictive covenant in Georgia. 

W-2 Reporting of Employer-Provided Health Care Costs

The 2010 health care reform legislation included an obligation for employers to inform employees of the cost of their health coverage.   The IRS has now issued Notice 2011-28, which provides interim guidance for employers on W-2 reporting  of the cost of coverage.  For more information, please click here to read the Alert regarding the Notice published by the Employee Benefits & Executive Compensation Client Service Group on April 5, 2011.

Form I-9:  Changes to Accepted Documentation

As of May 16, 2011, the documents employees present to employers for I-9 verification are subject to new regulations.  The

Department of Labor Extends Non-Enforcement Period for Certain Internal Claims and Appeals Requirements Applicable to Non-Grandfathered Plans Under the Affordable Care Act

On March 18, 2011, the Department of Labor issued Technical Release 2011-01 extending, with some modifications, the enforcement grace period established under DOL Technical Release 2010-02 until plan years beginning on or after January 1, 2012.  To learn more the extension of the enforcement grace period, please click here to read the Employee Benefits and Executive Compensation Client Service Group’s Alert published March 21, 2011.

Reporting for Participants with Deferred Vested Benefits – IRS Replaces Schedule SSA

CPSC Opens Business Registration for New Consumer Product Safety Information Database

The new Consumer Product Safety Information Database is now available online on a trial basis, and will launch officially in March at www.SaferProducts.gov.  The Database allows a broad range of people to file so-called “reports of harm” informing the CPSC about an incident or concern that the submitter believes is an indication a product is unsafe or potentially hazardous.  To read more the database, please click here to see the Alert published by the Retail Team on February 3, 2011.

IRS Reverses Course — Breast Pumps and Other

IRS Issues Guidance Expanding and Modifying 409A Correction Program and New Reporting Requirements for Stock Transfers under ISOs and ESPPs

The IRS issued Notice 2010-80 (the “Notice”), which made favorable changes to the procedures for voluntary correction of failures to comply with Internal Revenue Code Section 409A (“Section 409A”) originally issued in Notice 2010-6. These changes should make the correction procedures more accessible and less burdensome.  For a summary of the changes, please click here to read the Executive Compensation Update published by the Employee Benefits and Executive Compensation Client Service Group on December 7, 2010.

Virginia Federal Court Rules