New California Law Prohibits Nondisclosure Agreements as Part of Sexual Harassment Settlements

SF Chronicle, California Bans Secrecy Requirement Requirement in Workplace Sex-Harassment Suits

California employers can no longer require workers to sign nondisclosure agreements as part of sexual harassment, discrimination or assault cases under a bill signed by Gov. Jerry Brown on Sunday.

 

SB820 by Sen. Connie Leyva, D-Chino (San Bernardino County), was one of several bills to come out of the Legislature in response to the #MeToo movement. Leyva said banning mandatory secret settlements will ensure victims are not forced to keep quiet while serial offenders remain employed.

 

The bill applies to both private and public employers, including the Legislature, which previously required its own workers to sign nondisclosure agreements as part of settlements. The new law goes into effect Jan. 1.