loader
Page is loading...
Print Logo Logo
generic_insight_detail

Second Persuader Rule Case Halted; Court to Wait for New Administration

Gerald Lutkus

Gerald F. Lutkus

Of Counsel (Retired)

With a nationwide injunction already in place by a federal court in Texas, a federal court in Minnesota has entered a stay of proceedings in a second suit that also seeks to block enforcement of the persuader rule. U.S. District Judge Patrick J. Schiltz’s two-page order not only denied cross motions for summary judgment from the parties, but also stayed the proceeding. Judge Schiltz concluded that "The court agrees with plaintiffs that there is significant reason to believe that the new administration will withdraw the persuader rule – or at least decline to defend the validity of the persuader rule in its current form." Given that a nationwide injunction was already in place from another federal court, Judge Schiltz decided that "For the time being, then, there is nothing at stake in this litigation, and it would be a waste of judicial resources for the court to prepare for, hold a hearing on, and rule on the parties' pending summary judgment motions." The new rule promulgated by the U.S. Department of Labor would have dramatically expanded employers’ disclosure requirements to the federal government concerning their activities in union-organizing campaigns. Significantly, the rule also extended these reporting obligations to law firms conducting what the rule called “persuader activities.” Many have asserted that these reporting obligations would require waiver by law firms of their attorney-client privilege.


RELATED ARTICLES

Redux: The PRO Act is Back in Congress

March 15, 2023 | Labor Relations, Federal Laws and Legislation, National Labor Relations Board

On the Hunt: NLRB’s Top Lawyer Seeks Out Cases to Upend Precedent

March 6, 2023 | Labor Relations, National Labor Relations Board

Labor Law Changes To Be Aware Of In The New Year

January 3, 2023 | Labor Relations, National Labor Relations Board

Labor Board Issues Updated Guidance on Injunction Actions

October 31, 2022 | Labor Relations, National Labor Relations Board

Mailing It In? Labor Board Signals Potential Return To Manual Elections

October 3, 2022 | Labor Relations, National Labor Relations Board, Unions and Union Membership

Subscribe

Do you want to receive more valuable insights directly in your inbox? Visit our subscription center and let us know what you're interested in learning more about.

View Subscription Center
RELATED TOPICS
Injunction
Labor Law
Persuader Rule
Trending Connect
We use cookies on this site to enhance your user experience. By clicking any link on this page you are giving your consent for us to use cookies.