DOL Rescinds the Persuader Rule

The Department of Labor (DOL) has rescinded the 2016 Persuader Rule, which exceeded the authority of the Labor-Management Reporting and Disclosure Act (LMRDA), according to its press release.

dol-rescinds-persuader-ruleThe Persuader Rule impinged on attorney-client privilege by requiring confidential information to be part of disclosures and was strongly condemned by many stakeholders, including the American Bar Association, according to the DOL. A federal court has also ruled that the Persuader Rule was incompatible with the law and client confidentiality.

“For decades, the department enforced an easy-to-understand regulation: Personal interactions with employees done by employers’ consultants triggered reporting obligations, but advice between a client and attorney did not,” the Office of Policy’s Deputy Assistant Secretary Nathan Mehrens remarked. “By rescinding this Rule, the department stands up for the rights of Americans to ask a question of their attorney without mandated disclosure to the government.”


NOTE: The details in this blog are provided for informational purposes only. All answers are general in nature and do not constitute legal advice. If legal advice or other expert assistance is required, the services of a competent professional should be sought. The author specifically disclaims any and all liability arising directly or indirectly from the reliance on or use of this blog.
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