It is increasingly common for employers to put arbitration clauses in their employees’ contracts. Unfortunately, many employees sign these contracts without understanding what they mean, unintentionally trapping themselves in a potentially troublesome legal arrangement. So what is an arbitration clause, and how can it affect you when it is in your employment contract?
The Federal Trade Commission (FTC) has begun the process of reviewing a potential change to federal regulations about the use of restrictive covenants in employment contracts. The goal of these changes is, ostensibly, to allow employees a greater degree of freedom to change employment without fear of legal retribution. Employers, however, are wary of these potential changes, which they say may make it easier for employees to personally benefit from trade secrets or other confidential information. Continue reading “FTC Begins Review of Rule on Restrictive Covenants”