A new Utah law provides that a confidentiality clause regarding sexual misconduct, as a condition of employment, is void and unenforceable. Confidentiality clauses under the law include nondisclosure and non-disparagement clauses.
In this context, “nondisclosure clause” means an agreement between an employee and employer that prevents, or has the effect of preventing, an employee from disclosing or discussing: (A) sexual assault; (B) allegations of sexual assault; (C) sexual harassment; or (D) allegations of sexual harassment.
“Non-disparagement clause” means an agreement between an employee and employer that prohibits, or has the effect of prohibiting, an employee from making a negative statement that is about the employer and related to: (A) a claim of sexual assault or sexual harassment; (B) a sexual assault dispute; or (C) a sexual harassment dispute.
The law is effective immediately, and provides retrospective operation to January 1, 2023.