This bill amends Section 50-4-36 of the New Mexico Statutes to prohibit private employers from requiring prospective, current, or former employees and independent contractors to sign nondisclosure or non-disparagement agreements related to claims of sexual assault, sexual harassment, sexual discrimination, or sexual retaliation. The bill specifies that while confidentiality provisions may still be included in settlement agreements, they are limited to the monetary amount of the settlement or at the request of the employee to protect factual information related to the claim. Additionally, any confidentiality provision that does not comply with these stipulations will be deemed void and unenforceable.

Furthermore, the bill allows plaintiffs in civil actions involving such claims to present evidence of any prior nondisclosure or non-disparagement agreements made by the employer, which may support claims for punitive damages. It also states that any predispute arbitration agreements or joint-action waivers related to these claims will not be enforceable if the dispute arises under federal, tribal, or state law. The provisions of this act will apply to agreements made on or after June 20, 2025, and are intended to be interpreted broadly to achieve their remedial goals.

Statutes affected:
introduced version: 50-4-36