A mandatory arbitration clause placed into its employment contracts may have backfired for DoorDash, the on-demand food preparation and delivery service. DoorDash put the clause into the contract to avoid class and collective action suits by its employees, forcing the employees into private arbitration instead. However, as a result, DoorDash may now be financially responsible for the costs of more than 5,700 individual arbitrations, bound by that same arbitration clause. Continue reading “Mandatory Arbitration Clause Backfires Against DoorDash”
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Explaining the Telephone Consumer Protection Act (TCPA)
Most people have had to deal with the irritation of “robocalls,” phone calls that are made by automated systems, usually for the purposes of marketing or political advocacy
. Robocalls became so prevalent for a time that many asked Congress to ban them, or at least to regulate their use. To that end, Congress passed the Telephone Consumer Protection Act (TCPA) in 1991, which has remained a source of litigation ever since. Continue reading “Explaining the Telephone Consumer Protection Act (TCPA)”
Downloading App Is Not Constructive Notice of Terms and Conditions
The Ninth Circuit Court of Appeals has ruled that simply downloading an app onto your smartphone does not constitute constructive notice of the app’s terms and conditions. The case may have a significant impact on many app developers, who do not always put their terms and conditions in an easily accessible spot, but nevertheless hold their customers to those terms. As a result, app developers may be more legally exposed than they realize. Continue reading “Downloading App Is Not Constructive Notice of Terms and Conditions”
Ericsson Pleads Guilty to FCPA Violations in $1 Billion Settlement
Swedish telecom giant Telefonaktiebolaget LM Ericsson has pleaded guilty to violating the Foreign Corrupt Practices Act (FCPA), in a $1 billion settlement with the United States Department of Justice (DOJ). The settlement relates to a series of improper payments made by Ericsson to foreign officials around the world, as well as attempts to cover up those payments. Additionally, a subsidiary of Ericsson, Ericsson Egypt Ltd., also pleaded to additional charges. Continue reading “Ericsson Pleads Guilty to FCPA Violations in $1 Billion Settlement”
Medical Manufacturer Settles Whistleblower Suit for $37.5 Million
A California-based manufacturer of durable medical equipment (DME) has settled a lawsuit brought against it by the Department of Justice (DOJ) for $37.5 million. The suit accused the company of violating the Anti-Kickback Statute of the False Claims Act, alleging they had paid money, and offered other incentives, to those that offered their equipment. The suit came about due to whistleblowers at the company reporting their practices to the DOJ, and a part of the settlement is directed to redressing whistleblower grievances. Continue reading “Medical Manufacturer Settles Whistleblower Suit for $37.5 Million”
CDC Issues Guidance That Coronavirus Does Not Justify Discrimination
The Centers for Disease Control and Prevention (CDC) has issued legal guidance with respect to people’s reactions to the outbreak of the coronavirus in China. Namely, they wish to remind businesses that Title VII of the Civil Rights Act prohibits discrimination on the basis of national origin and race, and that such rules are still in effect. In particular, they want to emphasize that the coronavirus can infect anyone, and people of Asian descent should not be singled out as being more likely to carry the disease. Continue reading “CDC Issues Guidance That Coronavirus Does Not Justify Discrimination”
Proposed Law Would Invalidate Most Non-Compete Agreements
A bill currently sitting in committee in the United States Senate would make most non-compete agreements invalid. Known as the Workforce Mobility Act, the bill would broadly prohibit non-compete clauses in employment contracts, with a handful of exceptions. While the bill is currently sitting in committee, if passed, it would have a major impact on employment contracts around the country. Continue reading “Proposed Law Would Invalidate Most Non-Compete Agreements”
DOL Finalizes Rule Clarifying Franchising and Joint Employment
The Department of Labor (DOL) has issued its final rule regarding the relationship between franchisor and franchisee, with respect to possible joint employment status under the Fair Labor Standards Act (FLSA). Namely, they have clarified that the existence of a franchising relationship does not make the franchisor more or less likely to be a joint employer. Instead, they have affirmed a set of criteria that, considered as a whole, is determinative of whether joint employment exists or not. Continue reading “DOL Finalizes Rule Clarifying Franchising and Joint Employment”
CMS Issues Final Rule on Hospital Price Transparency
The Center for Medicare and Medicaid Services (CMS) has issued a final rule that will require all hospitals to make their pricing information publicly available. The rule is set to go into effect on January 1, 2021 and will require every hospital to publish the pricing information for all of their health care services on their websites. The rule was created with the intent of driving competition and increasing price transparency, while protecting patients from unexpected charges that could burden them with medical debt. Continue reading “CMS Issues Final Rule on Hospital Price Transparency”
Former Nissan Executive Ghosn Escapes House Arrest, Flees to Lebanon
Carlos Ghosn, a former executive at auto manufacturer Nissan, has fled to Lebanon after apparently escaping house arrest in Japan. Ghosn was arrested in 2018 after, it was alleged, he committed numerous financial crimes, including misusing company assets and embezzling company money for his own personal investments. The exact details of his escape remain unclear, but his flight to Lebanon has made it unlikely he will return to face prosecution in Japan. Continue reading “Former Nissan Executive Ghosn Escapes House Arrest, Flees to Lebanon”
