Louisiana recently enacted a law prohibiting nondisclosure clauses related to #MeToo claims. This law, outlined in House Bill No. 161, makes any employer-required nondisclosure agreement unenforceable if it was agreed to prior to a dispute involving a hostile work environment or sexual harassment.
Key provisions include:
- Definitions:
- “Hostile work environment” is defined as conditions where harassment significantly alters an employee’s ability to perform their duties.
- “Sexual harassment” includes unwelcome sexual advances, requests for sexual favors, and other inappropriate conduct that affects employment or creates an offensive work environment.
- Scope & Limitations:
- The law does not restrict the ability to enter into confidential settlement agreements after a report of hostility or harassment is filed.
Employers should update confidentiality clauses and employment agreements to comply with the new law, and communicate to employees that previously signed NDAs will not be enforced in future disputes involving hostile work environments or sexual harassment.
The law is effective on August 1, 2024.
