The status of a managing director (Geschäftsführer) of a German limited liability company (GmbH) is determined (i) by the appointment as managing director and, thus, the corporate office as a legal representative of the company and (ii) by the underlying service agreement. If a company intends to separate from a managing director, both, the appointment and the service agreement have to be terminated. It’s important to realize that these are two different issues that need to be addressed when parting ways with a managing director. READ MORE
On September 29, 2016, the DOL released a final rule requiring federal contractors to provide seven days of paid sick leave annually. The rule implements a 2015 executive order from President Obama that we covered in greater detail here. More than 35,000 individuals and organizations submitted comments on the DOL’s proposed rule.
On February 2, 2016, the Third Circuit affirmed the dismissal of a long-running SOX whistleblower suit filed by Jeffrey Wiest, a former accounts payable manager for Tyco Electronics. The decision is the first in which the Third Circuit has defined the “contributing factor” causation standard for SOX retaliation cases and provides helpful guidance on the issue.
In Morton v. Vanderbilt Univ., 2016 WL 52439 (6th Cir. Jan. 5, 2016), the Sixth Circuit recently held that, for purposes of the Worker Adjustment and Retraining Notification Act (“WARN Act”), employment does not end at notice of termination, but rather the employment relationship continues as long as the employee continues to be paid wages and accrue benefits.
In the recent case of Geys v. Société Générale, Mr. Geys, who was employed as managing director was given a letter in November 2007 by Société Générale stating: “I am writing to notify you that Société Générale, London has decided to terminate your employment with immediate effect”. Mr. Geys was then escorted from the building and never returned to it. Despite this, the Supreme Court has ruled that his contract of employment was not terminated. READ MORE