Recently, the Federal District Court (Massachusetts) dismissed a claim filed by an employee claiming that he was discriminated against and ultimately wrongfully terminated because of his wife’s disability, highlights a growing divergence between federal and state law on the subject. In a strongly-worded decision issued last month, the Federal District Court, Gertner, J., dismissed a disability discrimination claim based on…
The Massachusetts Independent Contractor/Employee Misclassification Law (M.G.L. c. 149 § 148B) sets out the Commonwealth’s test for determining whether an individual may validly be treated as an “independent contractor,” as opposed to an “employee.” The law and its strict interpretation serve as a trap for unwary business owners who wish to take advantage of the “independent contractor” designation for individuals…
Anyone who has bought or sold property is aware of the overwhelming amount of paperwork exchanged between the buyer and the seller. Many people gloss over these important real estate contracts and other documents without fully reading them. While many purchase and sales agreements provide for a fixed amount of damages (liquidated damages) in the event the buyers do not…
Courts historically enforce non-compete agreements in personal service contracts provided they are reasonably related to a legitimate business purpose, and are otherwise fair, based on all the circumstances. Under Massachusetts law, factors to consider in determining whether a non-compete agreement is reasonable are whether the covenant: (1) is supported by consideration; (2) serves a legitimate business interest; (3) is reasonably…
A recent United States Supreme Court decision, WAL-MART STORES, INC. v. DUKES ET AL. dealt a significant blow to plaintiffs in a nationwide class action gender discrimination case by denying class action status to Wal-Mart employees. Even though this Supreme Court decision has given Wal-Mart and other employers a leg up against future class actions alleging wide-spread discrimination, the decision does not…
As the economy continues to sputter along, both federal and state taxing agencies have been aggressive in pursuing businesses that misclassify workers as ‘independent contractors’ rather than ‘employees.’ Taxing authorities and government coffers are deprived of valuable revenue when businesses misclassify employees as independent contractors. For employees, businesses are required to pay payroll taxes, workers compensation insurance coverage, social security,…
The Massachusetts Attorney General’s office (“AG”) recently announced that it had entered a consent judgment with Briar Group, LLC, a restaurant operator, due to Briar’s 2009 release of patron credit card information at the hands of computer hackers. Briar was notified of its data breach on October 29, 2009, but did not remove the ‘malware’ from its network until December…
The Demoulas saga continues in Massachusetts. This ugly family feud has kept dozens of lawyers, the courts and even the bar licensing authorities busy for many years. In this newest skirmish, a superior court judge has ruled that minority shareholders do not owe a fiduciary duty to the corporation when selling their stock even though by selling their shares the…
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