New Jersey Supreme Court

Subscribe to New Jersey Supreme Court

The New Jersey Supreme Court’s recent ruling in Savage v. Township of Neptune, places limits on the enforceability of non-disparagement clauses in settlement agreements. The court unanimously held that such clauses are unenforceable if they prevent employees from discussing details related to claims of discrimination, retaliation, or harassment, aligning with protections under the New Jersey Law Against Discrimination (LAD).

Christine Savage, a former police sergeant, filed a lawsuit in December 2013 against the Neptune Township Police Department, alleging sexual harassment, sex discrimination, and retaliation. The parties entered into a settlement agreement which included a non-disparagement clause. In 2016, Savage filed another lawsuit against the same defendants, claiming they continued their discriminatory and retaliatory conduct. This second lawsuit was settled in July 2020, also with a non-disparagement clause in which both parties agreed not to“make any statements … regarding the past behavior of the parties, which statements would tend to disparage or impugn the reputation of any party.”Continue Reading New Jersey Supreme Court limits use of non-disparagement provisions in New Jersey LAD settlements

On June 8, 2021, the New Jersey Supreme Court made two significant rulings in Richter v. Oakland Board of Education. First, the Court held that an employee need not establish an adverse employment action as an element for a failure-to-accommodate claim under the New Jersey Law Against Discrimination (NJLAD). This holding built on prior case law, particularly in the context of retaliation claims, and was not unexpected given the broad remedial purpose of the NJLAD.  The second holding, however, is much more significant and may have far-reaching implications. Specifically, the Court held that the exclusive remedy provision of the New Jersey Worker’s Compensation Act’s (WCA), also known as the “workers’ compensation bar,” does not prevent an employee from recovering for physical injuries through a claim under the NJLAD, and there is no need for the employee to show an intentional wrong (which is generally required to recover for physical workplace injuries outside of the workers’ compensation context). This is a major shift in the law governing workplace injuries and potentially opens a host of new available damages in certain circumstances.
Continue Reading NJ workers’ compensation exclusivity not so exclusive anymore: NJ Supreme Court issues major ruling on the New Jersey workers’ compensation bar and NJLAD failure to accommodate claims