Articles Posted in Business Litigation

PENNSYLVANIA EMPLOYERS WILL NEED TO UPDATE EMPLOYEE HANDBOOKS AND OTHER CORPORATE POLICIES IF NEW SOCIAL MEDIA BILL PASSES
H. Adam Shapiro

Last month Philadelphia City Council proposed a bill that would prevent employers from legally requiring employees to provide them with access to an employee’s social media account. Highlights of the social media protections afforded to employees or prospective employees under the proposed bill include: The proposed bill does not however prevent an employer from monitoring…

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DO WEBSITE TERMS OF USE BIND CUSTOMERS? SOMETIMES.
H. Adam Shapiro

At the bottom of virtually every website is a link titled “Terms of Use” or “Terms and Conditions.” Click on this and you will see the conditions a company wants to impose on its customers who click through their website. Traditionally courts have held that “terms of use” and “privacy policy” sections of a website…

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CLIENT ALERT: RECENT COURT RULING REGARDING THE VIOLATION OF A COVENANT NOT TO COMPETE – SOLICITATION OF PAST CUSTOMERS
H. Adam Shapiro

In a breach of contract case last month (January 2013), a Pennsylvania trial court correctly ruled (in my humble opinion), that a seller did not violate the terms of a covenant not to compete in an asset purchase agreement by providing services to its former clients. The new owners of the company argued for a…

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AT WILL EMPLOYMENT DISCLAIMERS – WORD CHOICE MATTERS
H. Adam Shapiro

The General Counsel’s Office for the National Labor Relation’s Board has recently provided guidance regarding at-will employment disclaimers in employee handbooks. In the past, challenges of unfair labor practices (violation of Section 7 rights) have been successful before administrative law judges where the challenged language was read to imply that the at-will employment relationship could…

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FINRA’s Adopts New Suitability Rule
H. Adam Shapiro

On July 9, 2012, the Financial Industry Regulatory Authority (FINRA) implemented a new securities rule governing the obligation of brokers to make “suitable” investment recommendations to customers. While FINRA Rule 2111 is based upon NASD Rule 2310 – the prior suitability rule – FINRA Rule 2111 expands the old rule in several significant ways. The…

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Protections for Employees Reporting Illegal Activity
H. Adam Shapiro

Just this spring, what is usually seen as a pro-business Supreme Court issued a ruling clearly on the side of workers. The case, Kasten v Saint-Gobain Performance Plastics Corp., addressed the question of protection for workers who file complaints against their employers. Smart business owners, with the right policies, will be able to turn this…

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Confidential Settlement Agreements and the Public’s Right of Access
H. Adam Shapiro

Confidentiality terms in settlement agreements are fairly commonplace, but most people do not know that until recently the courts would often ignore them. Historically, the public’s “right of access” to judicial records outweighed a party’s desire to keep their settlement confidential. This makes sense when the issues involve public interests or safety concerns. But when…

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Pennsylvania Property Owners Not Always Liable for Contractor’s Injuries
H. Adam Shapiro

The Pennsylvania Supreme Court in a recent decision stated that residential and commercial property owners who hire contractors are not responsible for personal injuries happening during construction on their property. Previously, plaintiffs had argued for a “retained control” exception where property owners could be held responsible for injuries to workers if the owner was present…

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Attorney Client Privilege is now a Two-Way Street in Pennsylvania
H. Adam Shapiro

Many clients have often been surprised to learn that the attorney client privilege in Pennsylvania did not necessarily apply to advice their attorney’s gave them. Previously, the Pennsylvania Superior Court had held that only communications made from the client to the lawyer were privileged, not those flowing from the attorney to the client. That holding,…

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Could Your Business Lose Its Name in Pennsylvania?
H. Adam Shapiro

Many corporations, LLC’s, LP’s, and other businesses registered to operate in Pennsylvania must take action this year to avoid losing the ownership of their name. Pennsylvania law requires something called a “Decennial Report” to be filed every 10 years with the Department of State. The report is filed in every year ending with the number…

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