Features

On Feb. 24, 2004, the U.S. Supreme Court issued an important decision concerning whether the Age Discrimination in Employment Act (ADEA) prohibits employers from engaging in "reverse discrimination" by favoring older workers over younger workers. In <i>General Dynamics Land Systems, Inc. v. Cline</i>, the Supreme Court held that the ADEA does not prohibit employers from favoring older employers over younger ones. Because this decision resolves a conflict in various federal circuit courts of appeal, the Supreme Court's opinion eliminates any uncertainty concerning this issue at the federal level.

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A recent Second Circuit decision clarifies the application of the Foreign Sovereign Immunities Act (FSIA), 28 U.S.C. 1602 <i>et seq.</i>, in a discrimination case filed against foreign governments and their agencies and instrumentalities.

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Employees leave their current employers every day, presumably to pursue new and brighter career opportunities. This is especially true today, as the economy seems to be picking up pace and employers find themselves needing to expand their workforces. Inevitably, some employees will go to work for competitors of their former employers. While employees have the right to seek new and better jobs, the law is equally clear that they may not do so at the expense of their former employer's business interests.

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National cases of interest to your practice.

Nowadays more than ever, accusations of business crime must be put to the test, since the stakes in this post-Enron era are at an all-time high for an accused company's survival and its executives' personal liberty and reputation. The way we test allegations in Anglo-American law is through the adversary system. Yet, just when it's needed the most, the adversary system is increasingly sidelined. For the public company, adversarialism may no longer be an option at all.

In the post-Enron world, the SEC is ratcheting-up the stakes in many of its cases. With millions of dollars in increased funding and hundreds of additional staff, it is bringing more cases, seeking harsher penalties, and generally litigating more aggressively. If recent press releases are indicative, it is also increasingly coordinating its civil enforcement activities with criminal investigations by the Department of Justice. As one SEC district administrator stated in a recent newspaper interview: "People are looking for heads. And we're going after them."

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Just when there appears to be a significant uptick in investigations for violations of the Foreign Corrupt Practices Act (FCPA), the Fifth Circuit has issued a decision that sows further confusion over the meaning of the FCPA's criminal prohibitions.

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Recent rulings of importance to you and your practice.