Mealey's Employment
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September 10, 2025
Judge: Expert Retained By Ex-Employees Can Opine On Value Of Stock Options
NEW ORLEANS — An expert retained by former employees of a smoothie franchise company can testify on the value of stock options they allege were wrongfully revoked after they left the company, a Louisiana federal judge ruled Sept. 9 in denying a motion to exclude.
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September 10, 2025
FTC Dismisses Noncompete Rule Challenge Appeal As It Seeks Info On Agreements
NEW ORLEANS — The Fifth Circuit U.S. Court of Appeals granted a motion by the Federal Trade Commission to dismiss the commission’s 2024 appeal of a federal judge in Texas’ decision to strike down the FTC’s 2024 noncompete final rule largely banning noncompete agreements.
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September 09, 2025
Split 4th Circuit: States Lack Standing To Sue Over Federal Worker Firings
RICHMOND, Va. — Nineteen states and the District of Columbia lack standing under Article III of the U.S. Constitution to sue over the firing of probationary federal workers en masse, a divided Fourth Circuit U.S. Court of Appeals panel ruled Sept. 8, vacating a trial court’s preliminary injunction and remanding with instruction that the case be dismissed.
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September 09, 2025
2nd Circuit: Courts Can’t Decide Arbitral Fee Disputes In Laid-Off Workers’ Case
NEW YORK — A Second Circuit U.S. Court of Appeals panel ruled that Twitter Inc.’s refusal to pay ongoing fees during individual arbitration proceedings with several laid-off employees after a dispute “is a procedural issue entrusted to the arbitrator or arbitral body — not the court — for resolution within that proceeding” and not construed as a failure to arbitrate pursuant to the Federal Arbitration Act (FAA) in reversing and remanding a New York federal judge’s order.
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September 08, 2025
U.S. High Court Grants Administrative Stay In FTC Commissioner Removal Case
WASHINGTON, D.C. — A trial court’s summary judgment ruling for Rebecca Slaughter, one of two Federal Trade Commission commissioners purportedly removed in March from the Federal Trade Commission without cause, was administratively stayed by U.S. Supreme Court Chief Justice John G. Roberts Jr. on Sept. 8 pending further order by the high court.
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September 05, 2025
FTC Seeks Info On Noncompete Agreements As Rule Challenge Remains Stayed
WASHINGTON, D.C. — The Federal Trade Commission (FTC) issued a request Sept. 4 for information on employee noncompete agreements “to better understand the scope, prevalence, and effects of employer noncompete agreements, as well as to gather information to inform possible future enforcement actions.”
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September 05, 2025
Union Sues Over Elimination Of Patents Office Workers’ Collective Bargaining Rights
WASHINGTON, D.C. — An August executive order (EO) that expanded on a March EO and nullified the collective bargaining rights of additional agencies, including the Office of the Commissioner for Patents, was “retaliatory and not based on the statutory criteria” contained in the Federal Service Labor-Management Relations Statute (FSLMRS), the National Treasury Employees Union (NTEU) argues in a complaint filed in a federal court in the District of Columbia.
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September 05, 2025
U.S. High Court Asked To Stay Removal Ruling In Favor Of FTC Commissioner
WASHINGTON, D.C. — The federal government filed an application with the U.S. Supreme Court on Sept. 4 seeking an immediate administrative stay and a stay pending appeal after a split District of Columbia Circuit U.S. Court of Appeals panel declined to stay a trial court’s summary judgment ruling for Rebecca Slaughter, one of two Federal Trade Commission commissioners purportedly removed from the FTC without cause in March.
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September 05, 2025
3rd Circuit: Policy Violations Not Federal Crimes, Passwords Not Trade Secrets
PHILADELPHIA — Under the Computer Fraud and Abuse Act (CFAA), workplace policy infractions are not federal crimes and federal and Pennsylvania laws do not hold that passwords protecting proprietary business information are trade secrets, a Third Circuit U.S. Court of Appeals panel found “for the first time” in affirming a district court ruling that two former employees of a national debt-collection firm did not commit computer fraud, steal trade secrets or violate other state and federal laws through the creation and sharing of a spreadsheet containing passwords and login information protecting “confidential and proprietary information.”
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September 04, 2025
Injunction Pending Appeal Granted In ‘Abortion Accommodation Mandate’ Case
LAKE CHARLES, La. — A federal judge in Louisiana in a Sept. 3 order enjoined the Equal Employment Opportunity Commission and the EEOC chairman (together, EEOC) from interpreting and enforcing the Pregnant Workers Fairness Act’s (PWFA) “abortion accommodation mandate” against the U.S. Conference of Catholic Bishops (USCCB) and others pending their appeal of a ruling that granted them partial summary judgment.
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September 04, 2025
Split Panel Denies Stay Pending Appeal Of Removal Ruling For FTC Commissioner
WASHINGTON, D.C. — Despite previously granting an administrative stay, a District of Columbia Circuit U.S. Court of Appeals panel majority denied a stay pending appeal sought by the federal government after a trial court’s summary judgment ruling for Rebecca Slaughter, one of two Federal Trade Commission commissioners purportedly removed from the FTC without cause in March.
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September 03, 2025
8th Circuit Upholds Firing Of Worker Who Says CBD Oil Caused Failed Drug Test
ST. LOUIS — An Arkansas employer has the right to fire an employee at any time “for good cause, no cause, or even a morally wrong cause” under Arkansas’ employment-at-will doctrine, an Eighth Circuit U.S. Court of Appeals panel ruled in a per curiam unpublished opinion issued in a case brought by an employee who sued over his firing after failing a drug test, the results of which he attributed to the use of cannabidiol (CBD) oil for back pain from an on-the-job injury.
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August 29, 2025
8th Circuit Reverses Dismissal, Summary Judgment Rulings For BNSF In EEOC Suit
OMAHA, Neb. — A trial court judge erred in granting partial dismissal and summary judgment to a railway accused by the Equal Employment Opportunity Commission of creating a hostile work environment for a female employee as well as a class of similarly situated female workers, an Eighth Circuit U.S. Court of Appeals panel ruled Aug. 28, opining that a heightened pleading standard was applied in error when dismissing the claims of the class of women and that genuine issues of material fact should have prevented the summary judgment ruling.
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August 29, 2025
Federal Reserve Governor Sues, Seeks TRO After Purported Firing
WASHINGTON, D.C. — Federal Reserve Governor Lisa D. Cook on Aug. 28 filed a complaint and a motion for a temporary retraining order (TRO) in a federal court in Washington, D.C., seeking to halt her purported firing three days earlier announced by President Donald J. Trump on his social media account.
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August 29, 2025
$8.5M Settlement OK’d In Worker’s Suit Alleging Calif. Wage-And-Hour Violations
LOS ANGELES — A federal judge in California granted final approval of an $8.5 million class and representative settlement, ending wage-and-hour claims brought by one employee under California law against an engineering conglomerate accused of failing to provide meal and rest breaks, overtime and minimum wages and expenses.
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August 28, 2025
Jury’s Award Partially Upheld In Pandemic Speech Case; New Trial For 1 Claim
NEW HAVEN, Conn. — A federal judge in Connecticut partially denied a renewed motion for judgment notwithstanding a jury verdict or for a new trial filed by a Connecticut school board and principal after a jury awarded a Connecticut teacher $1.1 million on her claims that she was subjected to retaliation and defamation after making public comments and social media comments regarding the COVID-19 pandemic; the judge left in place $475,000 awarded for a retaliation claim brought under state law and a defamation claim and ordered a new trial on the teacher’s retaliation claim brought under federal law.
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August 28, 2025
2nd Circuit Says Strip Clubs Must Supply Subpoenaed Worker Info In Title VII Case
NEW YORK — A Second Circuit U.S. Court of Appeals panel held that the operators of two New York gentlemen’s clubs must submit pedigree information about their employees to the Equal Employment Opportunity Commission that was requested through subpoenas as part of an investigation into a former employee’s Title VII sexual discrimination and harassment claims, finding the trial court “sensibly concluded” that the requests were relevant to the case and not “overly burdensome.”
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August 27, 2025
11th Circuit: Lump-Sum Payments Shortchanged Top Hat Plan Participants
ATLANTA — Affirming summary judgment and remedies rulings for a class of nearly 200 executives who participated in so-called “top hat” plans, the 11th Circuit U.S. Court of Appeals on Aug. 26 agreed with the lower court that the 2013 lump-sum payments at issue violated the plan terms because they “‘adversely affected’ the ‘accrued benefit’ of at least some participants.”
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August 26, 2025
Divided 6th Circuit Remands Parts Of Fired Mail Clerk’s FMLA Case To Trial Court
CINCINNATI — A divided Sixth Circuit U.S. Court of Appeals panel ruled that a Michigan federal judge incorrectly opined that a Family and Medical Leave Act (FMLA) “medical certification can create a hard cap on unforeseeable intermittent FMLA leave” in reversing and remanding parts of a discrimination and retaliation suit a fired mail clerk filed against the United States Postal Service (USPS) over unexcused absences he took to treat his sickle cell anemia.
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August 26, 2025
Illinois Panel Reverses Class Certification In Pepperidge Farm BIPA Case
CHICAGO — A trial court must “make explicit findings as to whether any possible conflict of interest” exists as to class counsel in an Illinois Biometric Information Privacy Act (BIPA) case brought against Pepperidge Farm Inc. by an employee, an Illinois appellate panel ruled Aug. 25, reversing class certification after the sole named plaintiff’s daughter’s firm was permitted to remain as class counsel.
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August 26, 2025
Labor Secretary Argues Against High Court Review Of DOL Interaction, Travel Pay
WASHINGTON, D.C. — The U.S. Supreme Court should not grant a home health agency’s petition seeking review of two questions concerning the Fair Labor Standards Act (FLSA), the Portal-to-Portal Act (PPA) and a finding of a willful violation, the U.S. Department of Labor (DOL) secretary writes in an Aug. 25 opposition brief, arguing that the case is “an unsuitable vehicle to consider” the willful violation question and there is no circuit split when it comes to the ruling on pay for time spent traveling between worksites.
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August 22, 2025
Panel: Ga. Trial Court Erred Allowing FELA Case To Proceed Without Expert Testimony
ATLANTA — A Georgia trial court erred in refusing to grant summary judgment to Norfolk Southern Railway Co. because its employee, who claims that strenuous work on the railroad caused his injuries, lacked expert testimony to prove medical causation, the state appeals court held in reversing.
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August 22, 2025
Vaccine Refuser Who Court Found Failed To Make Out Discrimination Claim Appeals
CHARLOTTE, N.C. — After a North Carolina federal judge granted summary judgment to an employer in a former employee’s lawsuit stemming from her termination for declining to become vaccinated for COVID-19, having found that the employee failed to establish a prima facie case of failure to accommodate her religious beliefs or of racial discrimination, the employee on Aug. 21 filed a notice of appeal to the Fourth Circuit U.S. Court of Appeals.
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August 22, 2025
Hospital Says Vaccine Mandate Not State Act, Did Not Violate Constitutional Rights
NEW HAVEN, Conn. — Arguing that it is not a state actor and that former employees’ constitutional rights were not violated, a university health system moved to dismiss the second amended complaint of former employees alleging violations of their constitutional rights to “bodily autonomy, medical privacy and equal protection” caused by the health system’s mandatory COVID-19 policy and seeking damages under Section 1983 of Title 42 of the U.S. Code.
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August 21, 2025
Federal Judge Denies Injunction Pending Appeal In Fired Register Of Copyrights’ Case
WASHINGTON, D.C. — A federal judge in the District of Columbia on Aug. 20 denied a motion for an injunction pending appeal filed by the register of copyrights and director of the U.S. Copyright Office who sued after she was purportedly fired in May by President Donald J. Trump and was denied a preliminary injunction in her case; a similar motion remains pending before the District of Columbia Circuit U.S. Court of Appeals.