In Truong, LLC d/b/a V.I.P. Nails v. Tran, Le et al., 2013 N.J. Super. Unpub. LEXIS 64 (N.J. App. Div., Jan. 9, 2013), the New Jersey Appellate Division held that a two-year non-competition agreement was triggered upon an employee’s four-month break in service, after which the employee was rehired and worked for two more years before leaving to open a competing nail salon. As a result, the non-compete had expired by the time the employee left to start a competing business. This opinion provides an important reminder for employers to reissue non-competes to their employees upon any breaks in service.
In part one of this two-part series, “On-Premises Fringe Benefits, Part I: Is There Such a Thing as a Free Lunch?,” I discussed the Internal Revenue Code’s provisions on tax-free employer-provided meals in addition to the code’s “convenience of the employer” test. In this part, I will discuss a pivotal…..
Voluntary IRS program could carry unintended consequences for benefit plans The Internal Revenue Service (IRS) announced a new voluntary correction program to allow employers to reclassify workers who are improperly classified as independent contractors as employees for employment tax purposes. The Voluntary Classification Settlement Program (VCSP), announced September 21, 2011 in IRS Announcement 2011-64, permits
The U.S. Department of Labor recently issued final regulations providing fiduciary relief to plan fiduciaries who select default investment options for their individual account plans (including 401(k) plans) which give participants the right to direct investments. These regulations, which went into effect on December 24, 2007, implement a safe harbor for default investments. Under the