One of the new bills recently passed (AB 749) prohibits standard “No Rehire” provisions in settlement agreements and general releases.  These provisions typically read something like this:

No Future Employment.  Employee agrees that she will not seek employment or any other remunerative relationship in the future with the Company, or with any

For years, employers settling with former employees have included a clause saying that the employee would never reapply and was not eligible for rehire. The rationale is obvious. After litigating, sometimes for years, no employer wants to bring the employee back and potentially start the process over.

However, there was never clear authority saying those