N.J. Stat. Ann. § 10:5-1 et seq. § 10:5-12.8
Certain provisions in employment contract, settlement agreement deemed against public policy and unenforceable
Operative Text
2. a. A provision in any employment contract or settlement agreement which has the purpose or effect of concealing the details relating to a claim of discrimination, retaliation, or harassment (hereinafter referred to as a "non-disclosure provision") shall be deemed against public policy and unenforceable against a current or former employee (hereinafter referred to as an "employee") who is a party to the contract or settlement. If the employee publicly reveals sufficient details of the claim so that the employer is reasonably identifiable, then the non-disclosure provision shall also be unenforceable against the employer. b. Every settlement agreement resolving a discrimination, retaliation, or harassment claim by an employee against an employer shall include a bold, prominently placed notice that although the parties may have agreed to keep the settlement and underlying facts confidential, such a provision in an agreement is unenforceable against the employer if the employee publicly reveals sufficient details of the claim so that the employer is reasonably identifiable. c. Notwithstanding any other provision of law to the contrary, this section shall not be construed to prohibit an employer from requiring an employee to sign an agreement: (1) in which the employee agrees not to enter into competition with the employer during or after employment; or (2) in which the employee agrees not to disclose proprietary information, which includes only non-public trade secrets, business plan and customer information. L.2019, c.39, s.2.
Under N.J.S.A. 10:5-1 et seq. § 10:5-12.8, any clause in an employment contract or settlement agreement that is designed to hide details of a discrimination, retaliation, or harassment claim is declared contrary to public policy and cannot be enforced against the employee who signed it. If that employee publicly discloses enough information that their employer can be reasonably identified, the same non-disclosure clause also becomes unenforceable against the employer. Settlement agreements covering such claims must include a bold, prominent notice explaining this limitation, and the law still permits agreements restricting competition or protecting genuine trade secrets and proprietary business information.
Plain English — not legal advice.
While this provision primarily governs employment relationships rather than residential tenancy, property owners and managers who employ staff should be aware that N.J.S.A. 10:5-1 et seq. § 10:5-12.8 renders non-disclosure clauses in employment contracts and settlement agreements unenforceable when they relate to discrimination, retaliation, or harassment claims. Operators who resolve such workplace claims through settlement agreements generally ensure those documents include the bold, prominently placed statutory notice required by this section. Agreements limiting competition or protecting legitimate proprietary information, such as trade secrets or customer data, remain permissible under § 10:5-12.8 and are not affected by this rule.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Although N.J.S.A. 10:5-1 et seq. § 10:5-12.8 is an employment law provision rather than a residential tenancy rule, tenants who also work for their landlord or a property management company may find it relevant to their workplace rights. This section means that a non-disclosure clause in an employment contract or settlement agreement cannot be used to silence an employee about discrimination, retaliation, or harassment claims, and if an employee speaks out with enough detail to identify the employer, the clause cannot be enforced against the employer either. Those who believe a non-disclosure provision has been used to suppress such a claim may wish to consult a tenant-rights or workers'-rights organization, or review resources from the New Jersey Division on Civil Rights, to understand the range of options available under this law.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 6, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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