Q: I moved to California from Wisconsin six months ago to take a job with a company here. I quit a good job back home, my wife sacrificed a job she loved, and our kids had to leave all of their friends behind, and we moved our family to California. I was stunned last week when I was suddenly laid off by my new company.

I have heard from some other employees that I was really only hired to do one important project in my area of expertise (which we had just finished two weeks ago) and that they believe it was the company’s intention to fire me all along after it was completed. Can I sue them?

–Stranded in California

A: I am truly sorry about what has happened to you and your family, but luckily you moved to a state with specific laws against this sort of thing.

Labor Code § 970

California Labor Code § 970 prohibits employers from “fraudulently inducing” employees to relocate to accept new employment. In this situation, “fraudulent inducement” essentially means lying to someone to get them to move and accept employment with your company.

If you can prove that you were lead to believe you were not being hired for one specific assignment, that your employer knew you believed that and that your employer’s intention was to terminate you after that assignment was completed, then you will be able to sue your former employer.

Proof Can Be Easy in These Cases

In your situation, however, most judges and juries would easily believe you did not uproot your family and move to California just to take a six month temporary position. They also would be unlikely to believe the employer thought you agreed to that as the deal. The only thing left to prove is what the company thought would happen after the project was finished. This can be proven through e-mails, testimony and various other ways.

Damages are Tripled

Under Labor Code § 970, you can recover virtually any damages you can attribute to moving to take the new job and then being laid off. Your lost wages during unemployment, the cost of moving to California, the cost of moving back to Wisconsin if you move back, any costs you or your wife incur to get a new job, attorney’s fees, and countless other damages are recoverable under this statute.

The best part of Labor Code § 970, though, is that you are entitled to recover “treble” damages. What this means is that whatever damages you are awarded get tripled as a penalty against the company. So, if you can recover $100,000 of damages for what the company did, you would be awarded $300,000 total.

The California legislature realized what an extreme hardship situations like these place on employees and their families. Often they find themselves having moved for a job that suddenly vanishes and they are left stranded.

Tags

Discrimination | Fraud | Q&A | Wrongful Termination