Texas Federal District Court Blocks DOL's New 'Persuader Rule'

By Manolis Boulukos, Ice Miller LLP

On June 27, a federal district court in Texas entered a nationwide preliminary injunction blocking the U.S. Department of Labor’s  new “persuader rule” regulation. The new rule would significantly broaden reporting requirements under the Labor Management Reporting and Disclosure Act (LMRDA) for consultants (including labor and employment counsel) and employers.   

The case in which the injunction was entered, National Federation of Independent Business, et al. v. Thomas E. Perez, et al., No. 5:16-CV-00066-C (N.D. Tex. June 27, 2016), is one of three pending lawsuits challenging the rule. Earlier in June, a Minnesota district court declined to issue a similar injunction, but expressed skepticism as to the viability of the new regulation. See Labnet Inc. v. DOL, 2016 WL 3512143 (D. Minn. June 22, 2016). A third court in Arkansas has yet to rule. Read more in the Wall Street Journal article here.

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