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How NDAs Actually Help Employers Protect Data

June 5, 2022

On May 2, 2022, the Supreme Court’s draft opinion to overturn the 1973  Roe v Wade decision and return the power to determine abortion laws to US states made its way to the public domain in a leak that sparked a widespread uproar. While most outcry surrounding the opinion draft related to its impact on women’s rights, the leak brought another significant issue into the limelight: non-disclosure agreements (NDA) and related policies. Before the leak, the US public had never had access to a draft decision on a pending case in the modern history of the SCOTUS. The released draft poses a question to corporate organizations across the US: how can they protect confidential information to prevent unauthorized disclosure? The protection of such intellectual property, data and trade secrets becomes even more crucial in the digital age, where companies store sensitive data in an online company database that is subject to cyber-attacks. 

This article will discuss non-disclosure agreements (NDA) and other measures employers can take to protect information at work. 

What Are Non-disclosure Agreements?

Among businesses across the globe, confidentiality is non-negotiable. Employers share trade and professional information with employees with the assurance that these details will not go beyond the office . Non-disclosure agreements are one of the ways employers guarantee that assurance. A non-disclosure agreement is a binding legal contract that seeks to maintain the confidentiality of information. As a legal contract, an NDA ensures that one or both parties named in the agreement do not share specific information with a third party at all or without prior express written approval. 

Companies typically use NDAs to restrict employees from divulging trade secrets or intellectual property to competitors. However, contracting parties can also use an NDA to protect general privately-held company-related information. Typically, alongside the confidential information, NDAs also contain sanctions for breaching the contract, such as financial compensation and injunctions. 

What Are the Different Types of NDAs? 

There are three types of non-disclosure agreements. Here’s a quick breakdown of each of them: 

1. Unilateral NDAs

These types of NDAs involve one party disclosing confidential information to another and requesting its secrecy. Typically, businesses use unilateral NDAs to protect trade secrets and competitive data. In the employment context, all NDAs are unilateral.

2. Bilateral NDAs 

These NDAs involve two parties revealing sensitive information and signing an NDA to ensure neither individual divulges the sensitive details to a third party. Bilateral NDAs are a common theme in mergers and acquisitions. 

3. Multilateral NDAs 

These contracting confidentiality agreements involve three or more parties, with at least one of the individuals disclosing private information to the others. 

What Does an NDA Contain?

There are some vital provisions that contracting parties must include in an NDA. Some of them are:

  • Identities of the parties involved in the contract 
  • Broad definitions of the confidential information
  • The scope of the contract
  • The timeline of the agreement
  • Exclusions to the contract 
  • Sanctions for breaching the NDA
  • Related clauses, such as a non-compete, non-solicitation of employees, and non-circumvention clauses 
  • Termination of the contract

Typically, only the contract’s provider(s) can terminate an NDA. However, the contracting parties can also terminate the NDA by mutual consent or if the contract has exceeded its timeline. Also, while outlining the scope of an NDA, businesses should narrow the contract agreement to protect genuinely confidential information, as NDAs could be unenforceable if they are too broad. Furthermore, there are federal and state employment laws that determine the clauses that employers cannot include in an NDA. Corporate institutions should hire attorneys to help draft NDAs to ensure they meet state and federal regulations. 

Other Measures That Can Help Businesses Protect Workplace Confidentiality

Aside from NDAs, there are several other ways employees can ensure the protection of proprietary secrets. Here are two of the most common: 

  • Confidentiality Training and Policies 

Confidentiality training should become a part of the integration processes for new employees across businesses. HR departments should train newly-recruited employees on handling and disposing of sensitive information, company policies on sharing confidential data, and the consequences of violating these regulations. 

With social media becoming a crucial part of communication for us today, the use of the internet and other communication media in sharing private corporate information should also be a part of the details covered in the confidentiality training. Furthermore, the employee handbook should contain broad definitions of company privacy policies. 

  • Create Contingency Plans in the Event of Privacy Policy Violations 

First, your company should have a contingency plan for when an employee violates company confidentiality policies, or sensitive corporate information makes it to the public through any other means. The plan should be broad enough to cover all possible scenarios. Have strategies for removing the leaked information from the public domain, locating and disposing of other copies, and executing any legal action stated in your company policy against the guilty staff. 

Second, aside from privacy violation contingency strategies, your company may also need an exit plan for employees. This plan involves the processes employees have to go through to submit any company data or property in their possession whenever they want to leave the company. Your exit strategy should also include steps to disable and restrict access to all employee emails, company social media accounts, and online databases. 

Need NDA for Your Company? Reach Out to Our Employment Law Attorneys Today! 

Finally, confidentiality violations, such as the Supreme Court draft decision leak, can ruin corporate organizations. If your company doesn’t have an NDA in its privacy policy and you’re considering drafting one or updating the terms in the current confidentiality agreement, you’ll need an attorney to help you through the process. NDAs are sensitive contracts that can become unenforceable if you don’t draft them properly. State laws can also affect confidentiality agreements. If the scope of your NDA goes beyond state regulations, it might affect its enforceability. 

At the Law Office of Sheri Oluyemi, we can bring our expertise in US employment Law to tailor your NDA to meet your company’s privacy needs while staying within your state’s regulations. Our employment attorneys can also help you handle the legal sides of company privacy violations. 

Request a free teleconference consultation today, and let’s begin the process of protecting your company’s confidential data. 

Small Business Employment Law: A Guide to Investigating Sexual Harassment Claims

November 25, 2021

Sexual harassment is common in American workplaces. According to reports, five million individuals have been harassed in offices across the country annually. While this figure is alarming, the consequences for sexual harassment charges from employees are even more grave.

As such, you want to make sure your small business has measures to prevent sexual harassment around the office and deal with any claims that may arise. On that note, this article provides a comprehensive guide on dealing with sexual harassment cases around the office to avoid damages, liability, and Title VII lawsuits.

What Is Sexual Harassment?

Sexual harassment involves any unwelcome or inappropriate sexual advance or behavior exhibited towards an employee, employer, or client that has the potential to affect their employment (in the case of a staff member) if accepted or rejected, interferes with their performance, or makes them work environment hostile.

However, besides the obvious cases like company executives requesting sex from a junior staff member for a promotion, sexual harassment can also occur in several not-so-obvious scenarios.

For example, staff at a company may feel uncomfortable due to senior managers who are fond of sexually explicit jokes or one employee sending emails or IMs to coworkers that contain inappropriate sexual content.

That said, there are a couple of things you should know about sexual harassment, such as:

  • The victim doesn’t have to be a woman; men get sexually harassed in workplaces too
  • The offender isn’t always the opposite sex, as men throw unwelcome sexual advances at other men, and women do the same
  • The guilty party mustn’t be a staff; customers can sexually harass company employees
  • The victim can be a client or someone visiting the office
  • Sexual harassment can happen without the offender ( if they’re a senior staff) threatening the employee’s job

How to Prevent Sexual Harassment In The Office?

US Federal laws prohibit inappropriate sexual conduct towards employees, employers, or anyone else around the office. Title VII of the Civil Rights Act is the primary statute that provides guidelines on sexual harassment prohibition in the United States.

Therefore, with the law against it, you must create a work environment where sexual harassment can’t occur. But how do you do this? Let’s take a look:

  • Have a Sexual Harassment Policy

The first step to preventing sexual harassment in the workplace is to have specific regulations surrounding the subject. Consider having these company laws in a print and digital document and make them available to every employee.

These guidelines should define sexual harassment, state punishments or disciplinary measures for offenders, spell out procedures for filing sexual harassment claims, communicate the company’s commitments to investigating sexual harassment claims alongside specific investigative actions, and prohibit retaliation against employees who lodge sexual harassment complaints.

  • Conduct Annual Educative Training

It’d help if you train employees regularly on sexual harassment and its consequences in the office. These training sessions can occur bi-annually or annually. They should also involve reading out the company handbook on sexual harassment.

  • Conduct Separate Training Sessions for Managers and Senior Executives

Most sexual harassment complaints are usually against company executives; as such, you must hold separate meetings on sexual harassment with your senior staff. Emphasize clearly what sexual harassment is, the behaviors that constitute it, and the repercussions of such actions.

It’d be best to also educate senior managers on handling sexual harassment claims from employees since they’re typically the first point of contact in such scenarios.

How to Investigate Sexual Harassment Claims

Investigating sexual harassment cases is a complex issue, and you want to make sure your company doesn’t make any missteps in handling these claims.

That said, the Equal Employment Opportunity Commission’s (EEOC) guidelines on conducting an inquiry into sexual harassment complaints advise that employees consider all the facts surrounding the situation, including the nature of the inappropriate sexual behavior and the context in which the events took place.

With that in mind, here are some tips on handling sexual harassment cases:

  • Treat All Claims With Urgency

It’s vital to treat sexual harassment allegations as a priority. Whenever an employee comes forward with a claim, ensure they know that the company will take deliberate steps to look into the matter and get justice.

  • Interview Both Parties

After receiving the victim’s complaints, interview both parties separately to get the full details of what happened. Make sure you ask for specifics, such as date, time, the nature of the sexually inappropriate behavior, and witnesses.

You should also hold talks with witnesses and corroborate their accounts with the parties involved. Document each of these discussions, as well. Finally, discuss the company’s steps during and after the investigation with the affected individuals.

  • Treat Both Parties With Respect

During the investigations, ensure you don’t discriminate against the victim. Doing this puts you at risk of a lawsuit that could be damaging for the business. Also, assure the harassed employee of their safety and ensure no other staff abuses them as retaliation during or after the investigations.

Furthermore, accord the same respect to the offender as well. Remember, they’re innocent until proven guilty; as such, don’t discriminate against them in any way. However, we recommend sending them on leave or transfer during the investigations to protect the victim.

  • Review the Result of the Investigation and Take Appropriate Action

After the inquiry, review the information gathered and decide the next step to take. The result should determine the disciplinary measure to take towards the offender or victim.

At this point, it’s vital to mention that you should probably work with your HR department or a specialized company committee for sexual harassment cases to review the investigation and make a decision.

Also, once you’ve decided on what to do, let each party know immediately.

Hire a Competent Employment Lawyer

Sexual harassment claims are serious issues that could lead to a lawsuit if you’re not careful. As such, you’ll probably need legal help to navigate these cases professionally and avoid any damaging actions.

An employment lawyer is your best bet in this regard. However, finding an experienced attorney might be a bit challenging. That said, if you’re struggling to find a lawyer to handle a sexual harassment claim in your company, we recommend you reach out to The Law Office of Sheri Oluyemi, LLC. With years of experience in employment law, we can help you navigate sexual harassment cases in your firm and get justice served.

Sexual Harassment In the Workplace: Steps for SMBs to Avoid Liability Under Title VII

November 4, 2021

When an employee comes forward with a sexual harassment claim, they expect their employers to respond constructively to get justice served. However, several small business company executives often dismiss these cases, with little or nothing done to find a resolution.

And when senior managers ignore sexual harassment complaints in this manner, the following line of action for the victim is a costly and lengthy lawsuit.

Title VII of the Civil Rights Act prohibits discrimination or harassment of any sort; thus, any litigation against your business will have you facing the law in its full wrath.

As a business owner, you want to avoid this scenario; as such, you should address sexual harassment in your workplace even before it rears its head. With that in mind, we provide you with some helpful tips to prevent sexual harassment in your business.

How to Address Sexual Harassment as a Small or Medium-sized Business

Sexual harassment cases are challenging to handle. Here are some constructive ways to deal with sexual harassment in the office:

  1. Set Internal Policies and Regulations

When there are no rules guiding employee conduct in your company, your staff can exhibit any form of inappropriate behavior because they feel anything goes. Thus, you need company policies and rules that define acceptable conduct within the office premises and prohibits sexual harassment or any discriminatory behavior. These corporate laws should also specify the consequences of harassing employees or clients sexually.

You should also have these regulations in print and ensure every employee has them, regardless of their role. New employees must get a copy immediately after employment, and you’ll need to have extensive training sessions with them on how workers should relate with and treat each other. Existing staff members should also receive regular training to re-emphasize the company’s stance on sexual harassment and the repercussions of such behavior.

1 Enforce the Rules

Don’t make laws and throw them out the window when the time comes to enforce them. Ensure you take every sexual harassment allegation in your company seriously, regardless of whether the offender is a senior staff or a junior employee.

Set up an HR committee or department to investigate these claims and take appropriate action when you discover the truth. When you show zero tolerance to sexually inappropriate behavior in the workplace, your employees will conform to their attitudes accordingly.

2 Cultivate a Work Environment of Respect and Equality

While sexual harassment isn’t gender-neutral, we can all agree that women are victims of sexually inappropriate behavior more than men. As such, it’s vital to establish a work environment where everyone is respected, regardless of gender.

Ensure that every staff member receives equal treatment and has the same opportunities to thrive. It’d help if you also addressed gender-limiting biases head-on.

For example, some stereotypes that define women sexually according to what they wear or their race play significant roles in the high rate of sexual harassment towards the feminine gender.

It would be best to ensure these prejudiced views aren’t found in your firm. You shouldn’t even tolerate them as workplace banter. Men also face some of these biases, so they shouldn’t be left out of the conversation.

Furthermore, there should be consequences whenever an employee is disrespected in any way.

3 Empower Your Employees

Often, the victims of sexual harassment face discrimination and abuse whenever they come forward, even from coworkers who should know better and treat them with empathy. On that note, ensure to create a work environment where your staff members can speak up without retaliation from anyone, including their offenders.

Make your staff know that they can trust the company to act in their best interest whenever they’re victims of any form of discrimination, regardless of their gender or social status. With so many sexual harassment cases swept under the carpet, your company should stand out and make a difference.

Conclusion

Sexual harassment is still prevalent in American workplaces, despite having more media coverage with several conversations to see victims get justice. That said, if you’re battling with a sexual harassment case in your workplace or would like to take proactive measures to prevent them, we recommend you seek legal representation to help you out. Reach out to us today at The Law Office of Sheri Oluyemi, and let’s bring our extensive experience in employment law to your aid.