Articles, news & events

Read the latest news from Scali Rasmussen, including legal alerts and event listings.

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Dealership asset sales commonly involve the termination by the seller of its employees at closing, and the rehiring of the employees by the buyer. Depending on the number of affected employees, both federal and state law may impose prior notification requirements on the seller, failing which the seller could be hit with substantial financial damages and penalties.

Bonus overtime overhaul, a departure from fairness

California Supreme Court decision exposes employers to liability for unpaid overtime on flat sum bonuses

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Yesterday, the California Supreme Court reversed the Court of Appeal deciding the issue of how overtime pay must be calculated for flat sum bonuses, such as flat bonuses for working on a weekend. Unfortunately, its Alvarado v. Dart Container Corp. opinion presents bad news for employers and dealers that have been paying overtime by dividing such bonus by all hours worked to determine a regular rate of pay, and then multiplying by 0.5 to determine the overtime premium rate for such bonus.

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The SLF, is a charitable 501c(3) organization separate from and independent of the Sacramento County Bar Association. The group provides grants to organizations that improve the administration of justice, enhance public confidence in the legal profession, cultivate understanding of and respect for the rule of law, and support law-related public services.

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The Labor Commissioner’s Office recently updated its FAQs on the subject of rest breaks to provide further clarification and guidance on some nuances that employers may overlook. We already know the basics—that employers must authorize and permit non-exempt employees to take a rest break of at least net ten consecutive minutes for each four hours worked, or major fraction thereof, and that the break must, insofar as practicable, be taken in the middle of each work period. However, the FAQs illuminate a few other issues.

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A little-noticed change in the tax bill recently signed in to law will affect how employers resolve sexual harassment claims against them. Section 13307 of the tax bill amends the Internal Revenue Code to provide that no individual may deduct a “settlement or payment related to sexual harassment or sexual abuse if such settlement or payment is subject to a nondisclosure agreement.” It also prohibits the deduction of attorney’s fees related to any such payment.

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As of January 1, 2018, “adult use” or recreational marijuana became legal in California. Since then, hundreds of dispensaries have opened across California selling marijuana products to any adult over the age of 21. However, this change has surprisingly little impact on your rights and responsibilities as an employer.

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Sperla, previously a consumer product and regulatory attorney at Greenberg Traurig, has extensive experience representing national consumer product companies in California on federal compliance issues such as product safety, product registration, labeling, claims/marketing and licensing. He also litigates related cases brought under California’s consumer and environmental protection laws.

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