A provision in Utah's new sexual offenses bill changes what workplace misconduct agreements you can require employees to sign.
Most professional services owners in Utah don't realize that a provision buried in HB0090—a bill focused on sexual offenses—directly affects the employment agreements they can use.
Here's what changed: Utah law previously allowed employers to require nondisclosure and non-disparagement clauses in employment agreements for allegations involving sexual battery, lewdness, and lewdness involving a child. HB0090 removes those three offenses from the exceptions list, meaning they now fall under the broader definition of "sexual assault."
The practical effect is significant. Starting January 1, 2027, employers—including small professional services firms—can no longer require employees to sign agreements that:
This applies to any workplace misconduct allegation falling under the expanded sexual assault definition, regardless of whether a formal investigation or legal action occurs.
If you run a professional services firm—accounting, consulting, legal services, engineering, architecture, or similar—this matters. You likely have standard employment agreements or severance language that may currently include nondisclosure or non-disparagement provisions. Those provisions become unenforceable for this category of allegations on January 1, 2027.
The law applies to all employers. There's no size exemption. Whether you have five employees or fifty, the restriction applies equally.
Before January 1, 2027, review your standard employment agreements, offer letters, severance agreements, and any settlement language related to workplace misconduct. Identify any nondisclosure or non-disparagement clauses that reference sexual battery, lewdness, or lewdness involving a child—or that apply broadly to "sexual assault" allegations.
You don't need to amend agreements retroactively for current employees, but new hires and any new agreements should comply with the law. If you currently have settlement agreements in place that include these restrictions, consult with employment counsel about whether they remain enforceable under the new standard.
The change reflects a policy shift: Utah law now treats these allegations differently, priorititing transparency over confidentiality in employment contexts. Understanding this shift helps you avoid unintentional violations and protects your business from enforcing agreements that the law no longer permits.
Legal reference: HB0090, Section 6 (34A-5-114), page 26; effective January 1, 2027 (Section 35, page 89).