As we predicted, the lame-duck Congress has given final approval to the so-called “Speak Out Act” (S. 4524), federal legislation that would bar enforcement of pre-dispute nondisclosure and nondisparagement agreements related to sexual assault or sexual harassment. President Biden is expected to sign the measure into law when it reaches his desk.
The Speak Out Act will be the second new federal law enacted in 2022 to curb the use of pre-dispute agreements related to sexual assault and sexual harassment. Earlier this year, Congress amended the Federal Arbitration Act (FAA) to allow an alleged victim of sexual assault or sexual harassment to effectively waive a pre-dispute arbitration agreement or joint-action waiver applicable to the alleged misconduct.
Members of the Center for Workplace Compliance (CWC) can read more here.