Corporate and M&A Insights

The New Jersey Judiciary reported that approximately 40% of lawsuits filed with the courts involve claims by employees against their current or former employers. In this current litigious landscape, are there actions employers can take to protect against potential employment lawsuits? As a result of a recent decision from a New Jersey appellate court, the answer is a resounding “Yes.” Under that decision, employers and employees are permitted to enter into agreements that significantly shorten the statutory time period in which employees can file suit against the employer. Employees who fail to file suit within the agreed-upon time period will be barred from pursuing their claims, notwithstanding the fact that the statutory limitations period has not run.

Statutes of limitation are time periods established by law in which lawsuits must be initiated. The statutes of limitation vary depending upon the causes of action being asserted. For example, breach of contract claims can be filed up to six years after the alleged breach; suits alleging violations of the New Jersey Law Against Discrimination (“LAD”) and the New Jersey Wage & Hour Law must generally be filed within two years of the accrual of the claim; and whistleblower lawsuits under the Conscientious Employee Protection Act must be filed within one year of the accrual of the claim.

In its recently rendered decision in (“Raymours”), the Appellate Division of the Superior Court of New Jersey affirmed that an employer can require its employees to enter into agreements to shorten the statutory time period in which lawsuits can be filed against the employer, provided that the agreed-upon time period is reasonable.

Sooner or later, your facility will be the subject of an inspection by the Occupational Safety and Health Administration (“OSHA”). OSHA usually does not provide any advance notice of these inspections (which always seem to occur at the “wrong” time). Nevertheless, how facility representatives handle themselves can directly influence the severity of the outcome of the inspection.

To help you improve your company’s chances of a favorable outcome, basic procedures and rules must be carefully followed. Safety Officers and Plant Managers can and should be prepared for these inspections and must be able to quickly and easily implement a well-practiced and automatic response at the time. Time spent in preparation of these visits will ensure that the facility is exhibited in its most favorable light. This will minimize both the time the Inspector spends at the facility as well as the severity of any penalty assessment.

Your OSHA inspection response/action plan should take into account the following elements:

Is It Time to Limit Your Exposure to Employment Lawsuits?

What To Do When the OSHA Inspector Appears