“The arbitration agreement they signed with the staffing agency covers us” is the assumption that just got tested in California’s First District — and lost. In Toothman v. Redwood Toxicology Laboratory, Inc., filed May 5, 2026 and certified for publication,…
“They signed the clawback, so we’re covered” is a sentence that stopped being true in California on January 1, 2026. AB 692 took effect on that date. It added Business and Professions Code §16608 and Labor Code §926, and it…
“Our 1099 paperwork is airtight” is the belief that produced an alleged $4,423,450 assessment against Hart Placement Agency. In April 2026, the California Labor Commissioner’s Office assessed Hart Placement, a Los Angeles home-care agency, and its principals $4,423,450 for the…
“She never asked for anything” is the sentence that turns a manageable performance issue into a FEHA case. Under FEHA, the duty to engage in the interactive process is not triggered by a formal accommodation request. It is triggered when…
Most California small employers know the FEHA list — race, religion, sex, age, disability, sexual orientation, gender identity, and the rest. Family structure is not on it, so the assumption is that hiring decisions, leave requests, and bereavement policies do…
Belief: when a manager adjusts a high performer’s schedule to handle a family situation, that is a personnel favor — not a compliance issue. The favor becomes a compliance issue the moment another employee compares notes and the file shows…
Belief: when a California-based employee works a week in Nevada, Texas, or Arizona, that state’s overtime rules apply because that is where the work happened. California courts and the Labor Commissioner have rejected that view. California’s daily-and-weekly overtime rules generally…
Belief: if your HR or benefits-plan vendor has a SOC 2 report, your employee data is covered. A SOC 2 report is a point-in-time snapshot of a vendor’s controls, scoped and methodology-dependent. It is not a guarantee, and it does…
Belief: California’s workplace violence prevention plan was a 2024 project. Once the plan was written and the training was delivered, the obligation was satisfied. Labor Code §6401.9 does not work that way. The statute imposes ongoing obligations, including annual review…
Belief: a casual “we’re hiring” post on Instagram or LinkedIn does not have to comply with California pay-scale rules because it is not a real job ad. For employers with fifteen or more employees, California Labor Code §432.3(c)(3) requires the…
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