S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2555--A
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 26, 2023
                                ___________
 
 Introduced  by  M. of A. GONZALEZ-ROJAS, GALLAGHER, DAVILA, CRUZ, GLICK,
   SIMON, COOK -- read once and referred to the Committee on Judiciary --
   committee discharged, bill amended, ordered reprinted as  amended  and
   recommitted to said committee
 
 AN  ACT  to amend the general obligations law, in relation to nondisclo-
   sure and non-disparagement agreements
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 5-336 of the general obligations law, as amended by
 chapter 160 of the laws of 2019, is amended to read as follows:
   §  5-336.  Nondisclosure AND NON-DISPARAGEMENT agreements.  1. AS USED
 IN THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "EMPLOYER" SHALL MEAN ALL PUBLIC AND PRIVATE EMPLOYERS WITHIN  THE
 STATE.
   (B)  "EMPLOYEE" SHALL MEAN ALL PUBLIC AND PRIVATE EMPLOYEES, INCLUDING
 APPLICANTS FOR EMPLOYMENT, FORMER EMPLOYEES,  PAID  OR  UNPAID  INTERNS,
 VOLUNTEERS  AND  NATURAL  PERSONS EMPLOYED AS INDEPENDENT CONTRACTORS TO
 CARRY OUT WORK IN FURTHERANCE OF AN EMPLOYER'S BUSINESS  ENTERPRISE  WHO
 ARE NOT THEMSELVES EMPLOYERS.
   2. (a) Notwithstanding any other law to the contrary, no employer, its
 officers,  AGENTS  or  employees  shall have the authority to include or
 agree to include in any WAIVER, settlement, agreement  or  other  resol-
 ution of any claim, the factual foundation for which involves [discrimi-
 nation,  in  violation of laws prohibiting discrimination, including but
 not limited to,] AN ALLEGED VIOLATION OF THE LABOR  LAW  OR  OF  article
 fifteen  of  the executive law, any term or condition that would prevent
 the disclosure of the [underlying facts and circumstances to  the  claim
 or  action  unless the condition of confidentiality is the complainant's
 preference] EMPLOYEE'S WORKPLACE EXPERIENCE WITH THE EMPLOYER. ANY  SUCH
 TERM  OR CONDITION SHALL BE DEEMED AGAINST PUBLIC POLICY AND UNENFORCEA-
 BLE AGAINST AN EMPLOYEE.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04830-03-3
              

 A. 2555--A                          2
 
   (b) [Any such term or condition must be provided  in  writing  to  all
 parties  in  plain  English, and, if applicable, the primary language of
 the complainant, and the  complainant  shall  have  twenty-one  days  to
 consider  such  term or condition. If after twenty-one days such term or
 condition  is  the  complainant's  preference,  such preference shall be
 memorialized in an agreement signed by all parties. For a period  of  at
 least  seven  days  following  the  execution  of  such  agreement,  the
 complainant may revoke the agreement, and the agreement shall not become
 effective or be enforceable until such revocation period has expired.
   (c) Any such term or condition shall be void to  the  extent  that  it
 prohibits  or  otherwise restricts the complainant from: (i) initiating,
 testifying, assisting, complying with a subpoena from, or  participating
 in  any manner with an investigation conducted by the appropriate local,
 state, or federal agency; or (ii) filing or disclosing any facts  neces-
 sary  to receive unemployment insurance, Medicaid, or other public bene-
 fits to which the complainant  is  entitled.]  THE  PROVISIONS  OF  THIS
 SUBDIVISION  DO NOT PROHIBIT THE INCLUSION OR ENFORCEMENT OF A PROVISION
 IN ANY AGREEMENT THAT PRECLUDES THE DISCLOSURE OF  ANY  MONETARY  AMOUNT
 PAID IN SETTLEMENT OF A CLAIM.
   (C)  THE  PROVISIONS OF THIS SUBDIVISION DO NOT PROHIBIT THE INCLUSION
 OR ENFORCEMENT OF A PROVISION IN ANY AGREEMENT THAT RESTRICTS AN EMPLOY-
 ER FROM REVEALING THE IDENTITY OF THE EMPLOYEE AND THE EXISTENCE OF  AND
 CIRCUMSTANCES SURROUNDING THE EMPLOYEE'S COMPLAINT ABOUT WORKPLACE PRAC-
 TICES, EXCEPT AS REQUIRED BY LAW.
   (D)  AGREEMENTS  THAT  SETTLE  LEGAL  CLAIMS  BETWEEN  AN EMPLOYER AND
 EMPLOYEE SHALL STATE IN BOLD LANGUAGE THAT THE EMPLOYEE IS  ENTITLED  TO
 RECEIVE A COPY OF THE AGREEMENT IN THEIR PRIMARY LANGUAGE.
   [2.]  3.  Notwithstanding  any  provision  of law to the contrary, any
 provision in a contract or other agreement OR APPLICATION FOR EMPLOYMENT
 between an employer or an agent of  an  employer  and  any  employee  or
 potential  employee  of that employer entered into AS A CONDITION OF THE
 EMPLOYEE'S EMPLOYMENT, on or after January first, two thousand  [twenty]
 TWENTY-FOUR, that prevents the disclosure of factual information related
 to  any future [claim of discrimination] ALLEGED VIOLATIONS OF THE LABOR
 LAW OR OF ARTICLE FIFTEEN OF THE EXECUTIVE LAW,  OR  THAT  PREVENTS  THE
 DISCLOSURE  OF THE EMPLOYEE'S WORKPLACE EXPERIENCE WITH THE EMPLOYER, is
 void and unenforceable [unless such provision notifies the  employee  or
 potential  employee  that  it does not prohibit him or her from speaking
 with law enforcement, the equal employment opportunity  commission,  the
 state  division  of human rights, a local commission on human rights, or
 an attorney  retained  by  the  employee  or  potential  employee].  THE
 PROVISIONS  OF  THIS  SUBDIVISION  SHALL  NOT  PROHIBIT  AN EMPLOYER AND
 EMPLOYEE FROM AGREEING TO PROTECT TRADE  SECRETS,  PROPRIETARY  INFORMA-
 TION,   OR  CONFIDENTIAL  INFORMATION  THAT  DOES  NOT  INVOLVE  ALLEGED
 VIOLATIONS OF THE LABOR LAW OR OF ARTICLE  FIFTEEN  OF   THE   EXECUTIVE
 LAW.   ANY SUCH CONFIDENTIALITY OR NONDISCLOSURE AGREEMENT SHALL INCLUDE
 A STATEMENT THAT THE EMPLOYEE HAS THE RIGHT TO SPEAK WITH  LAW  ENFORCE-
 MENT, THE EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, THE DIVISION OF HUMAN
 RIGHTS,  ANY LOCAL COMMISSION ON HUMAN RIGHTS, THE ATTORNEY GENERAL, ANY
 REGULATORY AGENCY THAT INVESTIGATES WORKPLACE CONDITIONS, OR AN ATTORNEY
 RETAINED BY THE EMPLOYEE OR POTENTIAL EMPLOYEE.
   § 2. This act shall take effect on the sixtieth  day  after  it  shall
 have  become  a  law and shall apply to all applicable contracts entered
 into, renewed, modified or amended on or after such effective date.