Harvey Weinstein Employment Agreement
But talking more explicitly about harassment in the agreement and not just in corporate policy could send a signal to executives and investors, said John Utz, a lawyer based in Overland Park, Kan., who focuses on workers` right to pay and performance. Whether at the beginning of the employment relationship or through a modified agreement with existing executives (particularly executives representing the “face” of the organization), employers should consider the inclusion in their employment contracts of the following clauses: If the company finds that a salaried employee in charge of energy has committed sexual harassment or inappropriate retaliation, the advantage of such a clause is that the executive can be terminated quickly and properly without a separate dispute as to whether the reason for termination is admissible. Such a quarrel could continue and keep the scandal in public even longer than the underlying harassment complaint. The notified provision reads almost like the reversal of the “moral clause” found in many employment contracts, particularly in the areas of entertainment and sport. “We`re on the front line,” says Joseph Yaffe, an employment law specialist at Skadden in Palo Alto, who represents companies and executives on compensation. “It will take time for the sea to change.” “Because of the #MeToo movement, companies are focusing much more on extending the rules of the case” in employment contracts, said Amy Bess, an employment law specialist at Vedder Price in Washington. In recent years, the reason for termination “normally required a number of fairly significant circumstances,” to deny benefits, she says, such as actual conviction of a crime. Workers may not know until years later, after the end of their employment, that they have been harassed or abused. TMZ is familiar with Weinstein`s 2015 labor contract, which states that if he is sued for sexual harassment or any other “fault” leading to a transaction or judgment against TWC, Weinstein must pay only what the company spends, with a fine, and it is clear. The three-year contract dated October 20, 2015 and came into effect in January 2016. It was entered into the legal case because the six women who are suing a class action against Weinstein for unwanted sexual contact say it proves that TWC`s board of directors and others were aware of Weinstein`s behavior.
Weinstein`s lawyers countered that the existence of the clause in the contract does not mean that the company knew or tolerated his behavior.