Trafficking Victims Protection Act and Liquidated Damages Provisions in Employment Agreements

Employers eager to recapture the costs of hiring foreign citizens often use damages or repayment provisions in employment agreements. A recent case in the U.S. District Court for the Southern District of New York illustrates a challenge to that strategy. The Southern District's recent decision in Baldia v. RN Express Staffing Registry to allow a complaint under the federal Trafficking Victims Protection Act (TVPA) to proceed, is part of a growing trend in using the TVPA to challenge such agreements.