Jack Raisner quoted in Law360 on whether Enterprise Rent-A Car’s pandemic-related layoffs violated the WARN Act.
January 2021 Jack Raisner quoted in Law360 on whether Enterprise car rental’s pandemic-related layoffs violated the WARN Act.
The article “Enterprise WARN Act Ruling Spells Trouble For Big Employers” provided “a preview of how these suits may be handled by federal judges.” The judge refused to dismiss the case on the grounds that the COVID-19 pandemic was a “natural disaster” under the WARN Act which exempts the company from notice requirements. He found that the economic effects of COVID-19 which cause a business to close are different from a direct hit from a tornado, earthquake or tsunami that renders a company unable to function (and therefore unable to provide WARN notice). The judge instead found that the WARN defense of “unforeseeable business circumstances” might be more appropriate in an event like the COVID-19 pandemic, but that such an issue was not suitable for consideration on a motion to dismiss. Among the experts explaining the Enterprise decision, the article quoted Jack Raisner:
“It’s way too factually intricate and involved,” said Raisner Roupinian LLP co-founder Jack Raisner, who represents workers in mass layoff cases. “The big question is whether courts looking at the evidence will find that these decisions to terminate people could’ve been made earlier or not.” “These are issues for summary judgment or trial,” Raisner said.
Enterprise subsequently settled the case with its former employees.