United States: The U.S. Department Of Labor Overhauls the "White-Collar" Exemptions to the Fair Labor Standards Act

On April 20, the United States Department of Labor ("DOL") announced its final revised regulations governing the so-called "white-collar" exemptions from the overtime requirements of the Fair Labor Standards Act ("FLSA").1 When the DOL proposed overhauling these rules over a year ago, a firestorm of criticism cascaded from Democrats and workers’ advocacy groups who claimed that the revisions would substantially broaden the exemptions, depriving millions of employees from earning overtime pay. The final rules — which will become effective on August 23 — retreat from many of the DOL’s most controversial proposals. Nevertheless, the new rules do include some substantial changes to the executive exemption and to the salary level test, and introduce a new exemption for "highly compensated employees." The rules as a whole also are better organized and contain more specific guidance and examples to help employers in the modern workplace navigate these rules.


Employers covered by the FLSA must provide overtime pay to their nonexempt employees who work in excess of 40 hours in a workweek. The FLSA exempts from its minimum wage and overtime requirements the following categories of employees: (1) bona fide executive, administrative, or professional employees; (2) highly skilled computer-related employees; and (3) employees working in outside sales. 29 U.S.C. §§ 213(a)(1) & 213(a)(17). Extensive regulations issued by the DOL govern the scope of these so-called "white-collar" exemptions.

Under the existing rules, the exemptions generally follow the same framework. Employees must satisfy three elements: (1) the "duties" test, which evaluates the duties performed by the employee; (2) the salary level test, which mandates that employees make a minimum level of salary; and (3) the "salary basis" test, which evaluates whether the employee actually is compensated on a salary basis (or, in some cases, a fee basis) as required by the FLSA. The existing rules guarantee overtime pay to almost all employees earning below $8,060 per year regardless of their duties; employees earning a salary between $8,060 and $13,000 per year generally are exempt if they satisfy a detailed "duties test" (long test) for any one of the exemptions; and employees earning a higher salary are exempt if they satisfy a streamlined version of the "duties tests" (short test). These minimum salary levels, which have not changed in almost 30 years, are so outdated that the "long test" has become virtually meaningless.

The new rules reorganize and consolidate the existing rules and make some modifications to the duties tests, the salary level test, and the salary basis test. The rules bring the minimum salary levels into the 21st century: almost all employees earning less than $23,660 per year will now be nonexempt, entitling them to overtime pay. For employees earning a salary of at least $23,660, the new rules replace the "long" and "short" duties tests with one duties test for each of the exemptions that focuses on the employee’s "primary duty." 2 Although the new "duties tests" have been modified to some extent, they largely mirror the existing "short tests," with the notable exceptions of one new requirement for the executive exemption and a simpler test for outside sales employees. The new regulations include a new "highly compensated employee" exemption for employees earning at least $100,000 per year; such employees are now exempt if they satisfy a relaxed duties test. Finally, with respect to the salary basis test, the new rules provide employers with more flexibility to discipline exempt employees, and establish a "safe harbor" to help insulate employers from the potentially harsh effects of improper deductions from the pay of otherwise exempt employees.

The Duties Tests: The New Rules Largely Adhere to the Existing Short Duties Test, and Introduce A New "Highly Compensated Employee" Exemption

Executive Employees. To qualify for the new executive exemption, an employee must satisfy the new salary level and salary basis tests and must:

  1. Have the primary duty of management of the enterprise or a customarily recognized department or subdivision thereof;
  2. Customarily and regularly direct the work of two or more other employees; and
  3. Either have the authority to hire or fire other employees, or give suggestions and recommendations as to hiring, firing, advancement, promotion, or other changes of status if such suggestions are given particular weight by the employer.

29 C.F.R. § 541.100.

An employee who owns at least a bona fide 20% equity interest in his employer, and who is "actively engaged in its management," also qualifies for the executive exemption regardless of the employee’s compensation. Id. § 541.101.3

The first two elements of the new standard test are essentially the same as the current "short" test. The "hire or fire" element, on the other hand, is borrowed from the old "long" test; as such, this represents a new requirement for virtually all employees who currently qualify as exempt executives. This means that employers will need to take a close look at their currently exempt executive employees to determine whether these employees can meet the "hire or fire" requirement; if they cannot, these employees will be nonexempt and will be entitled to overtime. The new rule also contains detailed definitions of the terms "management," "customarily recognized department or subdivision," "two or more other employees," and "particular weight." Id. §§ 541.102 – 541.105. Finally, the new rule addresses the application of the executive exemption to employees who perform both exempt and nonexempt work, and provides specific examples to illustrate the principle. Id. § 541.106.

Administrative Employees. To qualify for the administrative exemption under the new rules, an employee must meet the salary level and salary (or fee) basis tests, and:

  1. Have the primary duty of performing office or non-manual work directly related to the management or general business operations of the employer or the employer’s customers; and
  2. The primary duty must include the exercise of discretion and independent judgment with respect to matters of significance.

29 C.F.R. § 541.200. 4

This new test is virtually identical to the existing short test. The new regulations define the term "directly related to management or general business operations," reinforcing the well-established principle that the administrative exemption applies only to employees whose work relates to assisting "with the running or servicing of the business," as opposed to producing or selling the business’s products or services. Id. § 541.201(a). The new rules include an expanded list of business areas in which administrative employees are likely to work, such as tax; accounting; quality control; advertising; safety and health; personnel; legal and regulatory compliance; and computer network, Internet and database administration. Id. § 541.201(b). Despite these examples, the so-called "production versus staff" dichotomy has proven difficult to apply in some circumstances, and the new rules do not offer much of an improvement on this front. Also included in the final rules is a detailed definition of "discretion and independent judgment," which the DOL crafted from existing regulations and case law applying this standard. Id. § 541.202. The DOL nevertheless acknowledges that the "discretion and independent judgment" test has generated significant confusion and litigation, and this will no doubt continue to be one of the more difficult standards to apply in practice.5

Perhaps in recognition of the fact that the administrative exemption has been — and will remain — the most amorphous of the white-collar exemptions, the new regulations include detailed descriptions of a number of jobs that generally qualify for this exemption. These include insurance claims adjusters; certain employees in the financial services industry; employees who lead a team assigned to complete major projects for the employer; executive and administrative assistants; human resources managers; and purchasing agents. Id. § 541.203. Even for these categories of employees, however, the job title does not control, and employers will need to evaluate the actual duties performed by the employees to determine if they qualify for the exemption. The new rules also identify some jobs that normally do not qualify for the exemption, including inspection work; examiners and graders; comparison shoppers; and public sector inspectors or investigators. Id.

Professional Employees. The professional exemption encompasses two types of professionals: the learned professional and the creative professional. To qualify for the new learned professional exemption, an employee must meet the salary level and salary (or fee) basis tests and:

  1. Have the primary duty of work requiring advanced knowledge, which is predominantly intellectual in character and includes work requiring the consistent exercise of discretion and judgment;
  2. The advanced knowledge must be in a field of science or learning; and
  3. The advanced knowledge must be customarily acquired by a prolonged course of specialized intellectual instruction.

29 C.F.R. § 541.301.

This parallels the current exemption.6 The new rules do clarify the application of this exemption to a small subset of employees. Specifically, the exemption applies to employees working in professions where "specialized academic training is a standard prerequisite for entrance into the profession," as well as to employees who choose a non-traditional path into such professions through a combination of work experience and intellectual instruction. This small subset of professionals includes, for example, the "occasional lawyer who has not gone to law school, or the occasional chemist who is not the possessor of a degree in chemistry." Id. § 541.301(d).

The new rules specifically address the status of certain professionals; some of these examples are borrowed from existing regulations and others are new. The following professionals generally will be exempt provided they meet customary educational and/or certification requirements: registered or certified medical technologists; registered nurses (but not licensed practical nurses or other nurses); dental hygienists; physician assistants; accountants; chefs (as distinguished from cooks); athletic trainers; and licensed funeral directors. Paralegals generally are nonexempt. Id. § 541.301(e).

The new rule for creative professionals is essentially the same as the existing rule, although the new regulations clarify the status of journalists.7

Outside Sales Employees. To qualify for the new outside sales employee exemption, an employee must:

  1. Have the primary duty of making sales, or obtaining orders or contracts for services or for use of facilities for which a consideration will be paid by a client or customer; and
  2. Be customarily and regularly engaged away from the employer’s place of business. 29 C.F.R. § 541.500.

This definition is consistent with the existing test for outside sales employees, with one exception: it removes the 20% restriction on nonexempt work. The "primary duty" test replaces this percentage restriction. This should relieve the burden on some employers who now must closely monitor and measure the percentage of time these employees devote to certain tasks. In defining the term "primary duty," the regulation clarifies that work incidental to sales work, such as making deliveries, writing sales reports, updating sales catalogues, or attending sales conferences, is regarded as exempt work. The regulation further defines "making sales or obtaining orders, "away from employer’s place of business," the status of promotion work, and the status of drivers who sell. Id. §§ 541.501-504.

Computer Employees. Due to the unique legislative history of the computer professional/employee exemption, the existing rules address computer employees in several places. The new rules remedy this confusing framework by consolidating the rules governing computer employees. To qualify for the computer employee exemption, an employee must be compensated on a salary basis of at least $455/week (like a salaried professional employee), or at least $27.63/hour if paid by the hour (like the current computer professional exemption). A combined primary duty test, which remains virtually unchanged from the current computer professional rules, requires the employee’s primary duty for both salaried and hourly computer employees to consist of:

The application of systems analysis techniques and procedures, including consulting with users, to determine hardware, software or system functional specifications;

  1. The design, development, documentation, analysis, creation, testing or modification of computer systems or programs, including prototypes, based on and related to user or system design specifications;
  2. The design documentation, testing, creation, or modification of computer programs related to machine operating systems; or
  3. A combination of the above, the performance of which requires the same level of skills.

The new rules do expand the exemption somewhat by deleting the requirement that the employee "consistently exercise discretion and judgment," and by broadening the application of the exemption to include additional non-software functions. 29 C.F.R. § 541.400. The new rules also explain that employees engaged in computer manufacture and repair are not exempt, and that computer employees — even if they do not fit the computer exemption — may qualify as exempt executive or administrative employees. Id. §§ 541.401 & 541.402.

Highly Compensated Employees. The new "highly compensated employee" rule marks one of the most dramatic departures from the existing rules. Under this new exemption, an employee who performs office or non-manual work and who makes at least $100,000 per year 8 is exempt if the employee "customarily and regularly performs any one or more of the exempt duties or responsibilities of an executive, administrative or professional employee …" 29 C.F.R. § 541.601(a). In effect, this establishes a looser exemption standard for a highly-paid employee because the employee’s "primary duty" need not fit within the defined exemptions as long as the employee "customarily and regularly" performs exempt duties. The existing regulations contain no comparable test.

Blue-Collar Employees and First Responders. In addition to clarifying and, in a few ways, redefining the white-collar exemptions, the final rules clarify the nonexempt status of two categories of employees, regardless of their compensation: blue-collar employees and so-called "first responders." Manual laborers and other blue-collar employees who perform work involving repetitive operations with their hands, physical skill and energy are nonexempt and thus entitled to minimum wage and overtime pay. 29 C.F.R. § 541.3(a). Likewise, most "first responders" such as police officers, detectives, investigators, correctional officers, parole and probation officers, fire fighters, paramedics, EMTs, and rescue workers who perform specified tasks do not qualify for the white-collar exemptions. Id. § 541.3(b).

Salary Level Test: The New Rules Almost Quadruple The Minimum Salary Level

As discussed above, the new rules modernize the regulatory framework by increasing the minimum annual salary to $455/week ($23,600/year). 29 C.F.R. § 541.600. Almost all employees who earn less than this now will automatically qualify for overtime, regardless of whether they are paid on an hourly or salary basis and regardless of their duties.9 The DOL estimates that the new minimum salary requirement alone will give overtime protection to 1.3 million workers who are currently exempt, and guarantee overtime to another 5.4 million employees whose status is "ambiguous" under the existing rules. Workers earning a salary between $23,600 per year and $100,000 per year are exempt if they satisfy the "primary duties" tests discussed above.10

The Salary Basis Test: The New Rules Permit One-Day Disciplinary Suspensions and Create a New "Safe Harbor" For Employers Who Make Improper Pay Deductions

As discussed above, to qualify for most of the exemptions, employees generally must be paid at least a minimum amount on a salary basis (or, in some cases, a fee basis). Like the existing regulations, the new regulations define the "salary basis" test, explaining that an exempt employee must receive a "predetermined amount" on a weekly or less frequent basis, and the salary cannot be subject to reduction due to "variations in the quality or quantity of the work performed."11 29 C.F.R. § 541.602. The new regulations also maintain the "no-docking" rule providing that exempt employee "must receive the full salary for any week in which the employee performs any work without regard to the number of days or hours worked"; in other words, partial-pay deductions based on the number of hours worked generally are not allowed. There are a few exceptions to the "no-docking" rule under both the old and new rules, including deductions in pay for circumstances like personal absences, sickness or disability; hours taken as unpaid FMLA leave; offsets for jury fees, witness fees and military pay; and deductions for penalties imposed for violations of significant safety rules. Id. § 541.602.

The new rules add one new exception to the "no-docking" rule. An employer will now be able to place an exempt employee on an unpaid disciplinary suspension of one or more full days, provided such suspension is imposed in good faith for an infraction of "workplace conduct" rules pursuant to a written policy applicable to all employees. Id. § 541.602(5). In contrast, the existing rules permit an employer to impose an unpaid disciplinary suspension on an exempt employee only if the suspension lasts for at least one full workweek. The new rule allowing unpaid suspensions of a shorter duration is designed to permit employers to impose the same sort of discipline on exempt employees that they do on their nonexempt workforce. In issuing this new rule, the DOL explained that its application is limited to "serious workplace misconduct" like sexual harassment, violence, drug violations, or violations of state or federal laws, although the text of the rule contains no such limitation. It is clear, however, that the rule is not intended to apply to suspensions for performance or attendance issues.

Both the existing and new regulations discuss the effect of improper deductions from salary. The new rules are more detailed in this respect, and they provide more protection for employers that make improper deductions in at least two ways. Id. § 541.603. First, where an employer has a practice of making improper deductions, the exemption will be lost for the period during which the improper deductions were made, but only for employees in the same job classification working for the same managers responsible for the improper deductions. Id. § 541.603(b). This logical limit on the impact of improper deductions does not exist in the current rules, and employers have sometimes suffered harsh consequences as a result.

Second, the new rules carve out a new "safe harbor" for employers, providing:

If an employer has a clearly communicated policy that prohibits the improper pay deductions … and includes a complaint mechanism, reimburses employees for any improper deductions and makes a good faith commitment to comply in the future, such employer will not lose the exemption for any employees unless the employer willfully violates the policy by continuing to make improper deductions after receiving employee complaints.

Id. § 541.603(d). The DOL intends to publish a model safe harbor policy that would comply with this provision.

What Should Employers Do Now?

Employers subject to the FLSA need to assess the impact of the updated white-collar exemptions on their workforce before the new rules take effect on August 23. First, employers should keep in mind that the federal regulations set the floor, not the ceiling, on minimum wage and overtime protection. Some states, most notably California, provide more overtime protection for their workers. The effect of the revised federal rules in such states is likely to be minimal.

Second, employers will need to audit their workforce to evaluate which employees qualify for the new exemptions. The new minimum salary requirement will be easy to apply and, if the DOL’s predictions are correct, will result in a change of status from exempt to nonexempt for at least 1.3 million employees. At the other end of the spectrum, currently nonexempt employees earning at least $100,000 may meet the new relaxed standard for the highly-compensated employees exemption; however, the number of employees who fall into this category is likely to be small. Given that the new "duties tests" largely mirror the existing tests, it is unlikely that large numbers of currently exempt employees will lose their exemption, with the possible exception of exempt executives who will need to satisfy the new "hire and fire" requirement. As always, an exemption audit cannot rely solely on job titles or even written job descriptions, which often are too general and can become outdated and inaccurate. Rather, the employer must evaluate the actual duties performed by the employees. The importance of a timely and accurate audit cannot be understated — the stakes are high, with the costs of private litigation and DOL wage and hour enforcement steeply rising. 12

Third, employers should take advantage of the new safe harbor by adopting a policy that prohibits improper pay deductions from otherwise exempt employees, including methods for communicating the policy and a complaint mechanism.


1: A copy of the new regulations, along with additional guidance, is located on the DOL’s web site at http://www.dol.gov/esa/regs/compliance/whd/fairpay/main.htm/.

2: The new rules include an extensive definition of "primary duty." 29 C.F.R. § 541.700.

3: This final rule departs in one important way from the DOL’s proposed rule and existing law: it eliminates the existing exemption for employees who are in "sole charge" of an independent establishment or branch of an employer.

4: Both the existing and new regulations include an alternative test for employees whose primary duty is performing administrative functions directly related to academic instruction or training. 29 C.F.R. § 541.204.

5: The proposed regulations sought to replace the "discretion and independent judgment" standard with a requirement that the employee hold a "position of responsibility." Many attacked this controversial proposal as broadening the administrative exemption with an ambiguous standard, leading the DOL to abandon it.

6: The professional exemption marks another area where the DOL abandoned a controversial proposal. The agency initially sought to eliminate the "discretion and judgment" requirement and to allow employees to acquire their knowledge not only through a prolonged course of specialized intellectual instruction, but also "by alternative means such as an equivalent combination of intellectual instruction and work experience." Critics argued that these proposals improperly broadened the professional exemption to include historically nonexempt employees such as medical technicians, licensed practical nurses, and engineering technicians, as well as military veterans.

7: To qualify for the creative professional exemption, the employee must meet the salary level and salary basis tests and have as his or her primary duty the performance of work requiring invention, imagination, originality or talent in a recognized field of artistic or creative endeavor. 29 C.F.R. § 541.302(a).

8: The employee’s total annual compensation must include at least $455 per week on a salary or fee basis, but can also include commissions, nondiscretionary bonuses and other nondiscretionary compensation. 29 C.F.R. § 541.601(b).

9: The salary level tests do not apply to outside sales employees or to professionals who work as teachers, doctors, or lawyers. 29 C.F.R. § 541.600(e). Such employees are exempt regardless of their salary.

10: Under both the existing and new regulations, different compensation tests may apply to academic administrative employees and computer employees. 29 C.F.R. § 541.600(c) & (d).

11: Both the existing and new rules address the status of employees who receive additional compensation beyond the minimum amount that is paid as a guaranteed salary, and address the "fee basis" rules applicable to some administrative and professional employees. 29 C.F.R. §§ 541.604 & 605.

12: The Wage and Hour Division of the Department of Labor collected over $182 million in back wages for violations of the FLSA in fiscal year 2003, a 27% increase over its 2002 collections. These wages were distributed to over 314,000 employees, a 30% increase over the number of employees receiving back wages the previous year. See http://www.dol.gov/esa/regs/compliance/whd/fairpay/statistics_2003.htm/. On April 27, the U.S. Secretary of Labor Elaine Chao announced a new enforcement task force within the Wage and Hour Division and highlighted the fact that the agency "is setting new enforcement records."

Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Morrison & Foerster LLP. All rights reserved

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

In association with
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:
  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.
  • Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.
    If you do not want us to provide your name and email address you may opt out by clicking here
    If you do not wish to receive any future announcements of products and services offered by Mondaq you may opt out by clicking here

    Terms & Conditions and Privacy Statement

    Mondaq.com (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

    Use of www.mondaq.com

    You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about Mondaq.com’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


    Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

    The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


    Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

    • To allow you to personalize the Mondaq websites you are visiting.
    • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
    • To produce demographic feedback for our information providers who provide information free for your use.

    Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

    Information Collection and Use

    We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

    We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to unsubscribe@mondaq.com with “no disclosure” in the subject heading

    Mondaq News Alerts

    In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


    A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

    Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

    Log Files

    We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


    This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

    Surveys & Contests

    From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


    If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


    From time to time Mondaq may send you emails promoting Mondaq services including new services. You may opt out of receiving such emails by clicking below.

    *** If you do not wish to receive any future announcements of services offered by Mondaq you may opt out by clicking here .


    This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to webmaster@mondaq.com.

    Correcting/Updating Personal Information

    If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to EditorialAdvisor@mondaq.com.

    Notification of Changes

    If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

    How to contact Mondaq

    You can contact us with comments or queries at enquiries@mondaq.com.

    If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at problems@mondaq.com and we will use commercially reasonable efforts to determine and correct the problem promptly.

    By clicking Register you state you have read and agree to our Terms and Conditions