In any employment setting, an employer may require an employee to sign any number of binding agreements, including documents in which the employee waives their right to pursue certain legal actions. As an employee, it is vitally important to understand what these agreements mean and do before you sign, as signing them may limit your ability to pursue an employment discrimination action in the future. If you have any questions or uncertainty, you should contact an experienced New York employment discrimination lawyer to discuss your next steps.
One crucial thing to know about these agreements is that they must be made fairly, and if you have proof of unfairness, it may prevent the employer from using the agreement against you in your lawsuit.
One such example came from a disability discrimination case here in New York City. The employee, M.W., began working as a telephone maintainer and fiber optic technician in 2015. In 2017, the technician allegedly suffered injuries in an off-duty auto accident and, because of those injuries, began using marijuana.
The technician tested positive for marijuana twice – once in March 2019 and once in October 2020. After the second positive result, the technician’s employer instituted a disciplinary action. In the meantime, the technician secured a medical marijuana card. He presented that card at his disciplinary hearing, seeking to use marijuana as a reasonable accommodation for the disability that had resulted from the car crash.
The employer rejected the technician’s request.
Shortly thereafter, in December 2020, the technician and the employer entered into a disciplinary agreement. Under the terms of the contract, the technician “agreed to waive any and all claims associated with the disciplinary grievance.”
M.W. eventually returned to work but had to take a lower-paid “station cleaner” position that did not require marijuana testing.
The technician sued in 2022, alleging that the employer’s actions against him constituted disability discrimination in violation of the New York State Human Rights Law and the New York City Human Rights Law. The employer filed a motion to dismiss the lawsuit, arguing that the release agreement the sides signed in December 2020 barred the employee from pursuing his discrimination case.
Although the trial court agreed with the employer, the Appellate Division reversed that ruling on appeal. As the appeals court noted, a valid release generally functions as “a complete bar to an action on a claim which is the subject of the release.” Exceptions exist, however, for circumstances where the release was the result of “duress, illegality, fraud, or mutual mistake.” Additionally, if an agreement is not “fairly and knowingly made” by all parties, a court may set it aside.
A Lack of Genuine Voluntariness
In the technician’s case, he alleged that he did not sign the release agreement voluntarily, “was not given a chance to read the agreement before [he] signed it thoroughly,” “was never told that the agreement would somehow bar [him] from bringing claims of discrimination or failure to accommodate based on [his] medical marijuana prescription,” and “was not told to consult with an attorney, nor was [he] given time to contact an attorney.”
Under circumstances like that, the employer was not entitled to dismissal based on the release. At the dismissal stage of any civil lawsuit, the “plaintiff’s allegations are to be treated as true, all inferences that reasonably flow therefrom are to be resolved in his or her favor, and where, as here, the plaintiff has submitted an affidavit in opposition to the motion, it is to be construed in the same favorable light.” Although the employer was entitled to dismissal on other grounds, the technician’s affidavit raised sufficient issues casting doubt on whether the parties entered into the release fairly and knowingly, and the release should not have been the basis for dismissing the employee’s lawsuit.
Being presented with documents such as waivers and release agreements by your employer can be extremely intimidating. To ensure that you are not erroneously signing away your rights, you need skilled legal counsel on your side. The knowledgeable New York employment discrimination attorneys at Phillips & Associates, PLLC are here to help. Our team can provide you with the sound, reliable advice you need to ensure that your rights are protected. To find out more, contact us online or call (866) 229-9441 to set up a free and confidential consultation today.