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California Gag Order on Employers Found Preempted by NLRA The Ninth Circuit
has struck down a California statute forbidding employers who receive
state grants or funds exceeding $10,000 from using such funding in responding
to labor organizing campaigns. The Court ruled that the law undermines
federal labor policy and is therefore preempted by the National Labor
Relations Act ("NLRA"). Chamber of Commerce of the United States, et al.
v. Lockyer, et al. Dismissal for Misconduct by Subsequent Employer Does Not Bar Back Pay and Front Pay for Victim of Discrimination The First Circuit has ruled that an employee terminated for discriminatory reasons can continue to accrue front pay and back pay damages even though the employee was being terminated by a subsequent employer for misconduct. Johnson v. Spencer Press of Maine, Inc. Transfer and Suspension Constitute Adverse Actions under Title VII The Sixth Circuit has ruled that a female railroad worker who was transferred to a different job and suspended without pay for 37 days after complaining about sexual harassment was unlawfully retaliated against in violation of Title VII. White v. Burlington N. & Santa Fe Ry. Co. California Supreme Court Issues Important Decision Allowing Attorneys to be Sued for Malicious Prosecution The California Supreme Court has issued a ruling that an attorney may be held liable for malicious prosecution by continuing to prosecute a lawsuit after learning it is not supported by probable cause, even if the attorney believed there was probable cause at the commencement at the lawsuit. Zamos v. Stroud. "Creative Necessity" Defense Does Not Preclude Lawsuit for Sexual Harassment by Writer on "Friends" A California appellate court has reversed part of a of summary judgment in a harassment, termination and retaliation claim, where the employee (a writer's assistant on "Friends") said she was forced to work in a sexually hostile environment. The Company tried to assert a "creative necessity" defense, arguing that all of the sexual banter she witnessed was part of the script writing process. Lyle v. Warner Brothers Television Productions. Court Okays Hiring Competitor's Employee without Use of Unfair Methods A California Court of Appeal has thrown out a case for interference with contract and prospective economic advantage against a former employee who left the Company and tried to hire away his former co-workers. The court found the plaintiffs failed to allege and produce evidence of independently wrongful conduct on the part of the defendants. Powers v. Rug Barn.
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