Corporate and Tax Partner Jason D. Navarino was quoted in the article “Tiktok Shareholders Who Make ‘Any Critical, Negative or Disparaging Statement’ About the Company Risk Having Their Entire Shares Confiscated,” published by Fortune on March 8, 2024.
Jason discussed the fine line involved with non-disparagement policies, which are common in shareholders’ agreements involving employee equity and in separation agreements. “The question is: What is disparagement? There’s a fine line between ‘you won’t say anything bad about the company’ and not allowing an employee to say anything about the company,” Jason said. He questioned TikTok’s “vague definition” of disparagement, noting that it is difficult for the employees to know the boundaries.
Jason also pointed to the evolving legal landscape regarding non-disparagement clauses and confidentiality provisions more broadly as they pertain to employees.
For the full article, go to Yahoo Finance.
