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Minnesota Court Finds Persuader Rule Has Substantial Likelihood of Being Overturned

Author: Harold P. Coxson (Washington DC)

Published Date: June 22, 2016

On June 22, 2016, in Labnet, Inc. v. U.S. Department of Labor, the U.S. District Court for the District of Minnesota issued the first decision arising out of three separate lawsuits seeking preliminary injunctions blocking the DOL from implementing its revised "persuader activity" rule. The court found that the rule’s challengers had a substantial likelihood of success on the merits of their claim but declined to enter a preliminary injunction at such an early stage of litigation.

While employers would have preferred preliminary injunctive relief, they are encouraged by the court's acknowledgement that the rule has a substantial likelihood of being overturned in the litigation to come.

The other two suits are being pursued before federal district courts in Little Rock, Arkansas, and Lubbock, Texas. (Ogletree Deakins represents employer groups in the Lubbock suit.) We expect decisions on motions for preliminary injunctions in those cases to be issued before the revised persuader activity rule's July 1, 2016 implementation date.

Harold P. Coxson  (Washington DC)

Harold P. Coxson
Hal Coxson is a nationally recognized lawyer with over 35 years experience in all aspects of labor and employment law in Washington, DC. He is highly respected for his experience and expertise in government relations and as an advocate on behalf of business clients before Congress, the Executive Branch and independent federal regulatory agencies. He chairs the Firm’s Government Relations Practice Group and is a Principal in Ogletree Governmental Affairs, Inc., the Firm’s wholly-owned...

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