California 2019-2020 Regular Session

California Assembly Bill AB2143

Introduced
2/10/20  
Introduced
2/10/20  
Refer
2/27/20  
Refer
2/27/20  
Report Pass
3/2/20  
Report Pass
3/2/20  
Refer
3/4/20  
Report Pass
5/12/20  
Engrossed
5/26/20  
Refer
5/27/20  
Refer
6/23/20  
Report Pass
8/13/20  
Enrolled
8/28/20  
Chaptered
9/11/20  

Caption

Settlement agreements: employment disputes.

Impact

The bill is significant as it enhances legal protections for employees engaged in employment disputes. By requiring documentation of any determinations of misconduct—such as sexual harassment, sexual assault, or criminal conduct—made by the employer before the aggrieved person files a claim, AB 2143 aims to establish clearer standards for settlement agreements. Thus, it provides a balance by preventing employers from automatically enforcing restrictive clauses that could curtail an employee's future career prospects, fostering a fairer workplace environment.

Summary

Assembly Bill 2143, championed by Mark Stone, amends Section 1002.5 of the California Code of Civil Procedure. The bill modifies existing regulations concerning settlement agreements related to employment disputes. It prohibits provisions in settlement agreements that restrict an aggrieved person's future employment opportunities with the employer against whom they have filed a claim, unless the claim was filed in good faith. The intent behind this legislation is to protect employees from potentially retaliatory practices that limit their employment opportunities after making claims of harassment or discrimination.

Sentiment

The sentiment surrounding AB 2143 appears predominantly supportive among advocates for employee rights, as it emphasizes protections against workplace misconduct and retaliation. Lawmakers, particularly from the Democratic side, highlight the importance of ensuring that individuals are not penalized for pursuing legal remedies for workplace grievances. However, there may be concerns from some business interests regarding the implications for how settlement agreements are structured, potentially complicating negotiation processes.

Contention

Despite the bill's supportive framework, there are notable concerns regarding its implementation and the burdens it may place on employers. Critics argue that the necessity for documented good faith determinations could lead to increased litigation or complicate settlement negotiations. Furthermore, employers may worry about the broader implications of such requirements on their ability to manage workforce issues, particularly in cases involving misconduct that might not be straightforward in nature.

Companion Bills

No companion bills found.

Previously Filed As

CA AB1905

Public postsecondary education: employment: settlements, informal resolutions, and retreat rights.

CA AB2754

Employment contracts and agreements: sufficient funds: liability.

CA AB1725

Law enforcement settlements and judgments: reporting.

CA SB889

California Department of Tax and Fee Administration: earnings withholding orders: settlement agreements: excise taxes.

CA SB809

California Fair Employment and Housing Act: Fair Chance Act: conviction history.

CA SB940

Civil disputes.

CA AB2499

Employment: unlawful discrimination and paid sick days: victims of violence.

CA AB2366

Sales and use tax: administration: settlements.

CA SB751

Franchise agreements: solid waste handling services: labor dispute.

CA SB1340

Discrimination.

Similar Bills

CA AB749

Settlement agreements: restraints in trade.

AZ HB2006

Real estate; acting in concert

AZ HB2090

Acting in concert; evidence; exceptions

VT H0071

An act relating to health care entity transaction oversight and clinical decision making

VA HB2235

Resale Disclosure Act; established.

VA SB1222

Resale Disclosure Act; established.

RI H8059

Prohibits noncompete agreements except for noncompete agreements between a seller and buyer of a business; creates civil action for an employer for the violation of an agreement by employee regarding disclosure or wrongful utilization of trade secrets.

RI S2436

Prohibits noncompete agreements except for noncompete agreements between a seller and buyer of a business; creates civil action for an employer for the violation of an agreement by employee regarding disclosure or wrongful utilization of trade secrets.