Legal

What You Need to know when you are fired or laid off

shutterstock_413781496-300x200If a company  terminates an employee or lay him/her off with no specific return date within the normal pay period, all wages and accrued vacation earned but unpaid are due and payable immediately.It is not acceptable to ask or require an employee to wait until the next regular payday for his/her final wages. A company cannot withhold a final paycheck. It is illegal to withhold a final paycheck to induce the former employee to:

  • Return tools, uniforms, mobile devices, laptop computers, keys or any other items belonging to you.
  • Pay back money that he/she owes to you.
  • Turn in expense reimbursement forms.

Payment Due at Time of Discharge

The California Labor Code requires that employees receive all earned and unpaid wages at the time of termination from employment. If they do not, the company can be assessed waiting time penalties UP TO DAYS at the employees rate of pay. . In Smith v. The Superior Court of Los Angeles County, the California Supreme Court ruled that neither length of employment nor reason for termination changes this requirement. An employee’s service to an employer is completed either by completion of the hired-for task or at termination by the employer. Both constitute a discharge as defined by law. The “discharge” does not require an involuntary termination from an ongoing employment relationship. An employee hired to perform one day of service must be paid at the end of that day.

Payment Location and Method

Terminated employees must be paid at the place of termination. The place of termination is the employee’s location, not the company’s. If the company terminates an employee who is not at their place of business, such as an employee who works remotely, they must be prepared to deliver the final paycheck at the moment they say, “You are fired.” Otherwise, they must pay the employee up until the date that he/she will actually receive his/her final pay.

 

Legal

My Car is Totalled But Insurance Wont Pay: Legal Reasons #24

totalled_carWhen you are involved in an auto accident with another driver who is at fault, either he or his insurance company is responsible for making you “whole”. That means that you are entitled to be put back into the same position you were in prior to the accident, financially speaking. No better, no worse. Suppose, for example, your 2005 Honda Civic was totaled in the accident. It was in very good condition and was worth (Kelly Blue Book value) $14,000, but it was dented before the accident, so the insurance company is deducting $1500 from its value and they are willing to pay $12,500. If the insurance company is going to get the salvage, you should get that $12,500. In addition, you should not be out-of-pocket for any other costs resulting from the accident such as the cost of storage, a rental car both while you’re waiting for settlement and while you’re shopping (for a reasonable time) for a replacement vehicle, sales tax, title fees, registration on your new vehicle, etc.

If the insurance company for the at-fault driver is refusing to pay “all costs”, find out why — and get it in writing. There are many reasons why an insurance company might refuse to pay all costs. Perhaps they don’t think your costs are reasonable, maybe you rented an expensive car, kept the rental way too long, or perhaps liability is an issue. In any event, speculating won’t help you. You need to find out from the adjuster why they will not pay all your costs, and, specifically, what specific costs they are unwilling to pay.

In California your own insurance company is not required to pay for your sales tax, registration and title fees associated with purchasing a new or used car to replace your totaled vehicle under your Collision coverage. If, however, another motorist is at fault for the crash, public policy dictates that you can collect from that person’s insurer all costs you incur directly because of the car wreck, including the costs associated with purchasing a new car after your old one is totaled. The bottom line is that you have the right to recoup the costs related to fixing the life disruption you experience as a result of the accident.

Legal

Does Being Salaried Mean No Overtime? Legal Reasons #23

labor-law-300x225More often than not, many assume that because they are salaried, they are not entitled to overtime.  Because it is highly litigated, understanding the distinction between exempt and nonexempt employees is critical. Generally, exempt employees are your key personnel who possess management and decision-making responsibilities.

Always assume employees are nonexempt unless they clearly meet the job duties of an exempt position and will earn at least two times the current minimum wage on a monthly basis. I

An exempt employee is normally an executive, administrative or professional employee. Other exempt employee types include some inside and outside salespeople. All other employees generally fall under the nonexempt category. All nonexempt employees are covered by the state and federal wage and hour laws. To avoid paying overtime premiums, an employee must be exempt from the overtime requirements of both state and federal law.

Job Title Irrelevant to Employee Status

Job titles alone do not designate an employee as exempt or nonexempt. An employee with an impressive job title may not qualify as an exempt employee if his/her actual duties do not meet the exemption requirements. An employee who performs routine bookkeeping tasks does not become an exempt employee when given the title “controller” rather than “bookkeeper.” Giving an employee the title of “store manager” does not make him/her exempt if he/she opens or closes the store alone, serves customers, maintains merchandise displays and performs the work of a retail clerk.

Salary Requirements for Exempt Employees

Exempt employees generally must earn a minimum monthly salary of no less than two times the state minimum wage for full-time employment, and the salary must be a pre-determined sum. There are different rules for some employees, such as physicians, computer professionals and outside salespersons. However, placing an employee on a salary does not exempt that employee from wage and hour laws. A nonexempt employee placed on a “salary” earns overtime just as hourly wage earners do.

The following topics describe some of the more important issues you should consider regarding an exempt employee’s salary.

Minimum Salary for Exempt Employees

The minimum monthly salary for most exempt executive, administrative and professional employees is no less than two times the state minimum wage for full-time employment — $3,466.67 per month effective January 1, 2016. To calculate this amount, multiply the state minimum wage by the number of hours a full-time employee works in one year. Divide the result by 12 months.

The California minimum wage rate increased to $10 per hour effective January 1, 2016. The exemptminimum salary requirement is based on the current state minimum wage, not any applicable local minimum wage

The minimum salary calculation is:

  • California minimum wage = $10.00/hour
  • Number of hours a full-time employee works in a week = 40
  • Number of weeks in a year = 52
  • Number of hours a full-time employee works in a year = 40 x 52 = 2,080
  • Minimum annual salary for a full-time exempt employee beginning January 1, 2016 = $10.00 x 2 = $20 x 2,080 = $41,600
  • Minimum monthly salary for a full-time exempt employee beginning January 1, 2016 = $41,600 ÷ 12 = $3,466.67

Legal

DO’s After An Car Accident: Legal Reasons #22

  1. Make a police report after an accident, unless the damages are minimal. If practical, do not move your car until the police arrive at the scene.
  2. Get the following information from the other driver: his name, address, driver’s license number, home phone, work phone, cell phone, vehicle license plate, insurance company’s name and policy number. (Look at his driver’s license for verification).
  3. Get the following information from all witnesses at the scene: their names, addresses and telephone numbers. Do not rely on the police to get this information. Take photos of the damage to your car and of the accident scene. It is important to take pictures from different angles, and before any repairs are made.
  4. Notify the DMV. In California, the DMV must be notified of any accident where there has been (1) an injury (no matter how small), (2) death, or (3) property damage in excess of $750. ** CLICK HERE TO COMPLETE DMV SR1 REPORT**. This must be filled out, printed and mailed to the DMV within 10 days of the date of your accident, regardless of whether the accident occurred on public or private property. (Please note that your insurance company is not obligated to file this report for you.)
  5. If you were injured, it is extremely important that you see a medical provider immediately. People who wait days, weeks or even months before seeing a doctor jeopardize their claim. Insurance companies will frequently deny claims or make extremely low settlement offers in cases where there has been a significant gap in time between the accident and the date of first medical treatment.
  6. If you experience continued pain as a result of your injuries, you are entitled to compensation for all pain and suffering you are expected to endure in the future.
  7. Notify your insurance company of the accident even if the other party is at fault. if you have collision coverage, then have your own insurance company cover damages to your vehicle, for the following reasons: (1) your company owes you a duty to promptly and fairly settle your property damage in good faith. However, the other parties insurance company has no such duty and can drag its feet in responding to your demand and make low ball offers. (2) If the other party is at fault, your insurance company will be able to get your deductible back from the other party. And if you were not at fault, using your collision coverage will not effect your insurance rates.
  8. Assuming the accident was the fault of the other driver, his insurance company is responsible for the reasonable cost of a rental vehicle for a reasonable period of time while your car is being repaired. Numerous issues come up when dealing with the other person’s carrier. If your own policy has rental car reimbursement coverage, check your policy. (Please note that when you rent your vehicle that the insurance company will not reimburse you for any extra insurance or collision deductible waivers which you purchase from the car rental.)
  9. Keep a diary of all your injuries, pain and emotional feelings. Remember that this information will fade from your memory with the passage of time. And your case may not settle for months, so the diary will be beneficial to refresh your memory of what type of pain and emotional distress you experienced after your accident. Tell friends and family about the pain that you are experience, but do not discuss the details of the accident with them.
  10. Remember that in California you are entitled to recover lost wages for the time you were off work, even if you used your sick pay or received other disability benefits.
  11. Keep all records, physical evidence or photos, and submit them to your personal injury attorney.
Legal

Determining Fault in a Car Accident: Legal Reasons #21

aid1662395-728px-Determine-Who-Is-at-Fault-in-a-Car-Accident-Step-3-Version-2The reality is that the odds of getting into an accident have increased tremendously with the advent of higher smart phone use. Distracted driving has become commonplace, and so have vehicle collisions. Once you know your safe, the question comes up.  Who is at fault?

Drivers have a duty to exercise reasonable care while behind the wheel. Obvious infractions or violations of the California Vehicle Code, such as driving in excess of the speed limit, ignoring traffic signals, failing to signal, etc. can be used as evidence of one’s negligence in contributing to the cause of a car crash. All of these are examples of evidence which may assist the decider in their determination of fault.

Who decides fault? Typically, it is an insurance adjuster, sometimes aided by a police report which is based upon statements from the drivers and possibly witnesses to the accident, physical evidence, such as skid marks on the road, damage to the cars, etc. However, sometimes fault is not easily determined and a car accident case winds up in court, so that a judge or jury can make a fault determination.

Legal

Why A Marital Settlement Agreement Instead of Trial: Legal Reasons #20

 

imagesRecently. I received several calls about a MSA (Marital Settlement AGreement) where one party wanted them to just orally agree while the other wanted down on paper. The partner did not want an attorney drafting the MSA, but old adage “Penny Wise, Pound Foolish” came to mind because oral agreements with former partners that are not drafted are fraught with

 

A marital separation agreement, also known as a property settlement agreement, is a written contract dividing your property, spelling out your rights, and settling problems such as alimony and custody. A marital separation agreement may be drawn before or after you have filed for divorce — even while you and your spouse are still living together.

When and if you begin the divorce proceedings, you will attach the separation agreement to your divorce papers and ask the court to merge, but not incorporate, the agreement into the final judicial decree.  If the marital separation agreement is incorporated into the decree, it becomes a court order and is enforceable by the court.  If you don’t incorporate the separation agreement into your decree, it simply becomes a contract or agreement between you and your spouse.

If you want to provide for the future governance of your relationship, as well as provide additional evidence to the court about the day that you separated, you should have a Marital Settlement Agreement. An agreement leaves no doubt about the details of the ending of your marriage relationship. It is better to have a clearly written agreement, rather than rely on verbal understandings.

In a community property” state, like California, all property acquired during the marriage is “marital property” and all property owned before the marriage is “non-marital” property. Gifts or inheritances to either spouse during the marriage is non-marital property.