On Dec. 7, 2022, President Joe Biden signed the Speak Out Act into law. This act garnered unusual bipartisan support in Congress, as it was passed by unanimous consent in the Senate.

This law declares that nondisclosure and nondisparagement clauses in contracts relating to employment, and entered into “before the dispute arises,” are unenforceable with respect to claims or allegations of sexual assault or sexual harassment.

Passage of the Speak Out Act follows passage earlier this year of another law on a similar subject, the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act. That law limited the enforceability of arbitration agreements entered into prior to a dispute arising where allegations of sexual assault or sexual harassment were made.

What does it mean?

The law applies to nondisclosure and nondisparagement clauses in any agreement relating to employment and means that these clauses cannot be enforced to prevent someone from speaking out about allegations of sexual harassment or sexual assault in the workplace prior to a claim of sexual assault or sexual harassment being made. Under federal law, employers may still enforce nondisclosure and nondisparagement clauses in agreements made to resolve claims of sexual harassment or sexual assault, as these are not “before the dispute arises.”

In Arizona, there is no specific law that applies in this area. However, other states have enacted laws that limit nondisclosure and nondisparagement clauses in...

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