Gloria Allred’s opposition that stopped California’s confidential-settlement reform proposal
She SaidGloria Allred’s opposition stopped an effort to limit secrecy in sexual-harassment settlements before the proposed California, United States, bill ever reached the legislature. The dispute exposed a conflict between two aims often treated as compatible: compensating people who bring claims and allowing information about repeat misconduct to reach those who might otherwise remain unaware of it.
The Reform Proposal
By 2017, consumer lawyers in California, United States, were arguing that settlements could compensate people for harassment without concealing alleged perpetrators’ conduct. They saw repeated confidentiality as a risk beyond any one agreement: if information stayed private each time a claim was settled, future workers might have no warning of a recurring pattern. Their lobbyist, Nancy Peverini, later described the danger as allowing a serial perpetrator’s actions to continue behind repeated secrecy.
In January, state legislator Connie Leyva considered sponsoring legislation requested by the lawyers. It would have barred confidentiality clauses in sexual-harassment settlements and ensured that future claimants could speak publicly and identify the alleged perpetrators. The proposal grew out of a wider inquiry into settlement terms that could restrict not only public disclosure but also the sharing of evidence and cooperation with other women making similar claims.
Allred’s Opposition
Allred argued that alleged harassers would not pay settlements without receiving silence in return. During a tense phone call with lobbyists and an aide from Leyva’s office, she said she would travel to the state capitol to oppose the legislation if it were proposed. Her position drew on a defense of confidential settlements that the reporters had heard elsewhere: clients might value privacy, fear being shunned by employers, and see litigation as risky and prolonged. Allred had also acknowledged that confidentiality could serve the powerful person on the other side of a settlement, who might want the dispute ended and the matter kept private.
The consumer lawyers believed Allred’s public standing made her opposition especially consequential. In their view, no bill intended to protect claimants could withstand a public attack from a lawyer widely regarded by her supporters as an advocate for women. Leyva backed away from sponsoring the measure. With the threat of Allred’s opposition, the proposed reform died before introduction; the account records no legislative debate or vote.
Why Confidentiality Was Contested
The proposal addressed a system in which secrecy could be both a practical route to compensation and a means of suppressing information. Women might accept settlements because they needed money, wanted privacy, feared being branded or disbelieved, or saw no better option. Taking a harassment case to court could be punishing: federal protections excluded some groups, including freelancers and employees of workplaces with fewer than fifteen people; the filing deadline could be as short as 180 days; and federal damages were capped at $300,000. Lawyers working on contingency also had a financial reason to favor settlements, since a lost case could leave them unpaid.
The terms under investigation showed what silence could entail. In agreements involving Bill O’Reilly, women were required to turn over evidence, and restrictions could bar them or their lawyers from helping other women with similar claims. One woman received about $9 million and another $3.25 million, but violating the clauses could mean losing the money. In an earlier Weinstein-related settlement, Zelda Perkins and Rowena Chiu each received £125,000 and accepted extensive restrictions; Perkins’s agreement limited whom she could speak to and even constrained discussion with a medical professional. These examples made the reform question concrete: a settlement could resolve an individual claim while leaving information about alleged conduct inaccessible to other potential claimants.
Consequences and Significance
The immediate consequence was the collapse of Leyva’s prospective bill, not a change in the law through a recorded legislative process. The setback also revealed how reform could be blocked before a public argument over its terms began: the anticipated influence of an established advocate was enough to make sponsorship politically untenable. The consumer lawyers’ objection was not to compensation itself, but to using compensation agreements to keep allegations from informing future decisions.
The episode condensed the larger tension at the center of the reporting. Private settlements could help individuals move on under difficult legal and economic conditions, yet repeated secrecy transferred the cost of missing information to people outside the agreement. An employer, prospective worker, or another claimant might not know what had already been reported. Allred’s intervention therefore did more than defeat one proposed measure: it left intact the confidentiality practice that reformers believed could permit repeated misconduct to remain hidden.