Worldwide: Discrimination, Disability & Sexual Harassment

A federal court in Iowa ruled that an insurer had no duty to defend or indemnify a restaurant chain in an EEOC sexual harassment lawsuit because the alleged employment practices were interrelated with earlier claims that predated the policy's retroactive date. The decision turned on the court's interpretation of the policy's broad definition of "interrelated" employment practices, which required only a "common connection" among facts, circumstances, or events.

Explore how human managers can maintain accountability, empathy, and judgment in AI-driven workplaces while mitigating legal risks and preserving workplace culture. Employment attorneys discuss the critical balance between leveraging AI tools and ensuring human oversight in hiring, performance management, and employee relations.

The Federal Trade Commission has issued a proposed policy statement clarifying how Section 5 of the FTC Act applies to AI systems, addressing whether companies can be held liable for deceptive practices when they alter AI outputs to comply with state laws or pursue objectives beyond accuracy. The statement creates potential conflicts for AI companies operating across multiple jurisdictions, as compliance with state anti-discrimination laws may expose them to federal deception claims if they fail to adequate