Craft broad settlement language to thwart 2nd lawsuit — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Craft broad settlement language to thwart 2nd lawsuit

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Employers that decide to settle harassment and discrimination claims, take note. The broader the settlement agreement language, the less likely the employee will turn around and file a new lawsuit. Always have an attorney approve settlement terms to make sure they are as broad as possible.

Recent case:
Lorie Geimer quit her job at Administaff, claiming she had been sexually harassed. She filed a complaint with the Illinois Department of Human Rights and eventually settled the case for $20,000. The agreement released Administaff from any liability arising out of her employment.

Later, Geimer sued, alleging the company lost a laptop computer containing her personal information and someone stole her identity. The court tossed out the case because Geimer had known about the theft when she signed the release. (Geimer v. Administaff, No. 08-C-5724, ND IL, 2009)

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