Bill > H2095

This bill addresses non-disclosure agreements (NDAs) and settlement agreements in employment contexts, specifically those related to workplace discrimination, wage disputes, retaliation, harassment, or public policy violations. The bill establishes that such agreements can only be valid and enforceable for a maximum of 3 years from the date they take effect, preventing employers from using long-term NDAs to silence employees about workplace misconduct. The legislation defines "retaliatory action" as any adverse employment action like discharge, suspension, or demotion, and explicitly prohibits employers from taking such actions against employees who refuse to sign agreements with void provisions. If an employer violates these terms or attempts to enforce an unenforceable agreement, they can be held liable for reasonable attorney's fees and litigation costs. Employees who believe their rights have been violated can file a civil action in superior court within 3 years of the violation, with the potential to receive all common law tort remedies. The bill does not apply to collective bargaining agreements and does not invalidate entire contracts, only the specific problematic provisions. Importantly, the law will apply to all settlement agreements entered into, renewed, modified, or amended after its effective date.

Labor and Employment

https://malegislature.gov/Bills/194/H2095