California SB 331 – Silenced No More Act: Settlements and Non-disparagement Agreements (Effective Jan. 1, 2022)

This bill expands coverage of existing law under Code of Civil Procedure Section 1001, known as the STAND (Stand Together Against Non-Disclosures) Act, which prohibits public and private employers of any size from settling lawsuits and administrative claims using agreements that prevent the disclosure of factual information regarding:

  • Sexual assault
  • Sexual harassment
  • Workplace harassment and discrimination based on sex
  • The failure to prevent acts of workplace harassment or sex discrimination
  • Retaliation against workers who report sexual harassment or sex discrimination

SB 331 prohibits provisions in certain agreements that prevent or restrict the disclosure of factual information related to claims involving all forms of harassment, discrimination and retaliation (not just discrimination based on sex):

  • Expands the prohibition to include acts of workplace harassment or discrimination not based on sex, and acts of harassment or discrimination not based on sex by the owner of a housing accommodation
  • Prohibits employers from requiring an employee to sign a nondisparagement agreement or other document that has the purpose or effect of denying the employee the right to disclose information about unlawful acts in the workplace
  • Prohibits any provision in an employee’s separation agreement that restricts the disclosure of information about unlawful acts in the workplace
  • Requires that a nondisparagement or other contractual provision that restricts an employee’s ability to disclose information related to conditions in the workplace to include specific language about an employee’s right to disclose information about unlawful acts in the workplace

SB 331 applies to agreements:

  • Made in exchange for a raise or bonus
  • Made as a condition of employment or continued employment
  • Related to an employee’s separation such as a severance agreement

This bill amends Section 1001 of the Code of Civil Procedure and amends Section 12964.5 of the Government Code.

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