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ARTICLE · 04 MARCH 2014

Loose Lips Sink Ships — And Settlements

Fox Rothschild LLP
Fox Rothschild LLP
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A man in Florida is learning the hard way that this old adage is true.

United StatesEmployment and HR

A man in Florida is learning the hard way that this old adage is true. 

Patrick Snay, the ex-headmaster of Gulliver Schools Inc. settled an age discrimination and retaliation suit he brought when his contract was not renewed.  The settlement agreement contained a rather standard confidentiality agreement that prohibited the disclosure of the existence or terms of the agreement to anyone besides Snay's wife and attorneys. Despite the strict confidentiality clause, Snay told his daughter that the case was resolved and they were happy with the settlement.

The $150,000 settlement was split up as $10,000 for back pay, $60,000 for attorneys' fees and another $80,000 that would be 1099′d.  Gulliver Schools paid the back pay and attorneys' fees but before they could issue the $80,000 check, Snay's daughter did what college-age kids sometimes do best — post to Facebook without thinking. Snay's daughter posted to her 1200 friends the following on Facebook:

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