New York Tightens Restrictions on Release Agreements Related to Workplace Misconduct

On November 17, 2023, New York Governor Kathy Hochul signed into legislation a new piece of law that has significant implications for employers within the state. This law implements further restrictions on the terms that employers may set in release agreements relating to accusations of harassment, discrimination, and retaliation.

Following its enactment, the law took immediate effect, expanding the existing limitations on release agreements defined by New York General Obligations Law Section 5-336 (“Section 5-336”).

This notable legislative amendment is not the first of its kind in New York. It marks the third time that the state’s release agreement law has been modified, demonstrating a legislative trend aimed at greater regulation on employers’ capacity to mediate accusations of workplace misconduct

These frequent changes requiring businesses to modify their procedures to ensure they remain compliant with updated regulations, call for employers and legal counsel to stay informed about the ongoing changes in employment law dynamics in the state of New York.

For a more detailed view on the implications of this law, including detailed commentaries by legal experts, visit
New York Amends Its Release Agreement Law for the Third Time.