LITTLE ROCK, Ark. (Legal Newsline) – Arkansas Attorney
General Leslie Rutledge announced that her request to enjoin the U.S.
Department of Labor’s Persuader Advice Exemption Rule was granted; the rule has
now been blocked from moving forward nationwide.
Rutledge led a 10-state coalition, along with Texas Attorney
General Ken Paxton, to oppose the rule.
“This is a big win for small businesses in Arkansas and
across the country,” Rutledge said. “With the court’s decision, employers will
not be jeopardized by having to disclose confidential advice from attorneys
needed to lawfully and appropriately respond to organizing campaigns or
collective bargaining demands. Job growth and economic development will be
protected by having this injunction in place. I commend the court for taking
this important step, and I am confident that this rule will ultimately be found
The rule would force the disclosure of confidential
information between small businesses and their counsel in matters related to
labor relations. This would be a reversal of how the department has operated
for half a century. The attorneys general who opposed the rule believed it
would put an undue burden on small businesses.
A federal district court in Texas granted the nationwide
injunction as part of the National Federation of Independent Business v. Perez
case. Rutledge and Paxton joined the case with the support from attorneys
general from Alabama, Indiana, Michigan, Oklahoma, South Carolina, Utah, West
Virginia and Wisconsin.