When settling employment disputes, employers and employees often seek to go their separate ways and avoid crossing paths in the future.  Settlement agreements often include a “No Re-Hire” clause in which employees agree they will not be eligible for re-hire; however, what happens when a former employee challenges the “no re-hire” clause as an unlawful restraint on trade?  And what happens when the employee seeks to invalidate the entire settlement agreement on the basis that the “no re-hire” clause was a material term of settlement?
Continue Reading “No Re-Hire” Clauses May Be Unlawful Restraints of Trade