They Really Mean It: the EEOC Sues Another Employer for Allegedly Overbroad Releases

Recently, the Chicago District Office of the Equal Employment Opportunity Commission (EEOC) sued CVS Pharmacy, Inc. because CVS required employees to sign a release that the EEOC claims was “overly broad, misleading, and unenforceable” due to provisions in the release which allegedly infringed on the employees’ rights to file charges of discrimination and participate in EEOC investigations.1 On April 30, 2014, the Phoenix District Office of the EEOC sued CollegeAmerica Denver, Inc. in the United States District Court for the District of Colorado, making similar allegations.2 All employers should carefully review their form release agreements in light of these actions by the EEOC, which we expect will continue.