Illinois Appellate Court Rewrites Restrictive Covenant Law

Tuesday, February 2, 2010

By Brian K. LaFratta and Joel W. Rice

A landmark Illinois Appellate Court decision was recently issued making restrictive covenants substantially easier to enforce, at least in central Illinois.  In this article, the prevailing party’s attorneys explain the implications of the decision, as well as the circumstances that led to this significant change in the law.

For years, many Illinois businesses have used restrictive covenants (or covenants not to compete) to protect their customer relationships and confidential information.  Such covenants, which are typically part of employment agreements, provide that employees cannot solicit the company’s customers or otherwise compete with the company after the termination of their employment.  Recognizing that such covenants are a restraint of trade and detrimental to employees’ job prospects, Illinois courts have historically not looked favorably on them and have imposed strict requirements that must be met in order for the covenants to be enforceable.

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Illinois’ Vehicle Code and Phone Use in School Zones Act

Monday, February 1, 2010

By:  Jeffrey A. Risch, Esq., SmithAmundsen LLC

2010 has already brought forth substantial legislative changes that require companies to revamp their policies and procedures.

On January 1, 2010, an amendment to the Illinois Vehicle Code became effective, prohibiting drivers from using an electronic device to compose, send or read electronic messages.  Electronic messages are defined to include, and are not limited to, email, text messages, instant messages, and/or commands or requests to access internet sites.

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Questions Answered about USERRA

Thursday, January 21, 2010

Questions Answered…  The Uniformed Service Employment and Reemployment Rights Act (USERRA)

Q. What is USERRA?

A. The Uniformed Services Employment and Reemployment Rights Act protects the rights of those who leave employment to serve in the military. Returning veterans are entitled to the same status, seniority, pay, and other benefits they would have earned had their employment not been interrupted.

Q. Who is required to comply with USERRA?

A. All private employers, as well as all federal, state, and local government, regardless of the number of employees.

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Cobra Subsidy Extended

Thursday, January 14, 2010

By:  Jon D. Hoag, Wessels Sherman, P.C.

On December 19, 2009, President Obama signed legislation into law extending the eligibility date for the COBRA premium subsidy, which was originally established under the American Recovery and Reinvestment Act (ARRA).  Prior to this extension, only individuals who were involuntarily terminated and who lost coverage before December 31, 2009 were eligible to receive the 9-month COBRA subsidy.

Eligibility Period
The new law extends the eligibility for the COBRA subsidy for two (2) additional months, through February 28, 2010.  The law also clarifies that an individual only need qualify (e.g. be involuntarily terminated) on or before February 28, 2010.  That is, the requirement that the individual also become eligible for COBRA prior to the February 28, 2010 deadline has been eliminated.

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IDES AUDITS: If You Use Independent Contractors, Be Sure You Know All of the Powerful IDES Exemptions

Wednesday, January 13, 2010

By:  Nancy E. Joerg, Esq., Senior Attorney and Shareholder, Wessels Sherman Joerg Liszka Laverty Seneczko P.C.

Many companies who use independent contractors do not realize that under the Illinois Unemployment Insurance Act, there are many specific tests for various kinds of independent contractors.  [Even the Illinois Department of Employment Security (IDES) auditors who audit companies do not always themselves know all of the different tests for independent contractor status and exemptions from employment!]

It is essential that a company using independent contractors knows the specific test for their specific kind of independent contractors so that the company can gather the necessary proof to establish independent contractor status if they are ever audited by the IDES.

The following is a list (not all inclusive) of some of the independent contractor tests under the Illinois Unemployment Insurance Act:
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National Group Names Illinois’ 2009 Champions for Older Workers

Tuesday, January 12, 2010

Experience Works, the nation’s largest nonprofit training and employment organization for older workers, has named the 2009 Experience Works Champions for older workers in Illinois.  Experience Works provides job training to low-income older workers in Illinois through the Senior Community Service Program (SCSEP). 

 

The three Champion Award categories are: Experience Works Participant Champion, recognizing an older worker in Illinois who has overcome significant barriers to workplace success; Host Agency Champion, honoring a nonprofit agency or public entity that has provided on-the-job training opportunities to older workers; and Employer Champion, highlighting an employer’s dedication to hiring and retaining older workers.   

 

Illinois’ 2009 Experience Works Champions are:

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Illinois Construction Update: IDOL Crushes Contractor for Reportedly Misclassifying Subcontractors as Independent Contractors

Tuesday, December 22, 2009

By:  Jeffrey A. Risch, SmithAmundsen LLC

In what is believed to be the largest assessment issued by the Illinois Department of Labor (IDOL) under Illinois’ new Employee Classification Act (Act), a Chicago-area contractor has been penalized over $325,000.00 for treating its workers as independent contractors rather than employees.  IDOL recently issued its final determination and assessment under the Act against Elmwood Park, Ill. based Mega Builders Inc. The determination faulted Mega Builders for failing to classify 18 workers as employees and for also “scheming” to evade its obligations under the Act by forcing workers to incorporate.
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Governor Signs Healthcare Mandate

Monday, December 21, 2009

Sarah Frye, Manager of Legislative Relations, Illinois Chamber

HB2652was signed into law by Governor Quinn as P.A. 96-833.  The new law requires Illinois healthcare plans to provide parity benefits for prosthetics and customized orthotic devices.  The Illinois Chamber was successful in negotiating an amendment with the legislation’s supporters to clarify and minimize the legislation’s cost to employer plans.  The bill becomes effective June 1, 2010.

Another bill awaiting the Governor’s signature is HB3923.  The Illinois Chamber led a coalition of business and insurance interests in negotiating a health measure that should help stem the rising cost of health insurance in our state.  Several dates have been changed as potential signing ceremonies and it may not occur until January.  The drop date for signing is January 24.

Results are in on the Illinois Chamber’s 2010 Holiday Survey!

Thursday, December 17, 2009

 

Illinois Chamber has released the results from its annual Holiday Survey which indicates how Illinois employers and their employees will be handling paid holiday periods in 2010.

“The Chamber’s Annual Holiday Survey is a useful tool for many Illinois businesses in helping employers determine holiday benefits for employees, trends across various industries, and how to handle emerging ethnic holidays. With more than 500 businesses responding from throughout the state, this is the largest response we have had and the results should prove substantial,” said Gloria Guy, Vice President for Business Services for the Illinois Chamber.

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Illinois Prevailing Wage Update!

Wednesday, December 16, 2009

Jeffrey A. Risch, SmithAmundsen LLC

The Illinois Prevailing Wage Act requires contractors to pay workers a prevailing rate of wages and benefits while engaged on construction projects constructed by a public body.  These projects are referred under the Act as public works.  These terms [public body and public works] have been the subject of litigation and controversy over their intended meanings.  Many construction projects have fallen prey to the Act’s ambiguity as to what specific projects  be deemed as public works and thus subject to the Act’s coverage. 

Complete update