Being Sued by Your Employee? Here’s What You Should Do

Share via

There are several types of employee lawsuits and this includes discrimination, harassment, retaliation, as well as wrongful termination. Discrimination is the unjust treatment of an employee while harassment is a harmful act towards another person. Retaliation encompasses an unjust action taken by the employer in response to a complaint filed by an employee while wrongful termination is when an employee is terminated unfairly. In case your employee files in any of these lawsuits against you and your business or company, below are the things that you should do immediately.

Seek the Services of Legal Experts

As soon as you get the notice that you are being sued by your employee, consult the services of a legal professional immediately. Seasoned lawyers are in the best position to help assess your situation and decide on the next steps that you need to take in order to address your problem with the lawsuit. The legal aid that they will provide can also help you in navigating around the areas of employment law, and defend the stance of your company. With their help, you and your employee can even reach an amicable settlement, circumventing the need for the lawsuit to further commence.

Identify and Preserve Relevant Document

Another thing that you need to do upon receipt of the lawsuit notice is to gather relevant documents that can help you with your case. Your legal counsel can also be of assistance to you in this phase because they will provide you with a good insight on which documents would prove to be helpful, as well as which documents can be destructive. There are instances wherein you may not find substantial documents to back up your defense, but if you can, keep personnel files, handbooks, investigative reports, emails, and other communications that you can find which are relevant.

Timely File a Claim With Your Insurance Provider

Businesses are often equipped with employment practices liability insurance which covers instances such as an employee lawsuit. Make sure to file a timely claim with your insurance provider because they can cover the costs you need to shell out as you pursue your defense. There are even instances wherein your insurance provider delegates your legal counsel for you. Nevertheless, if you already have an attorney representing you, then work with them to file for your insurance claim as well. If at this point, you don’t have this insurance coverage for your business, then now is the perfect time for you to consider getting one.

In conclusion, the first thing that you should do in case of a legal battle against your employee is to consult with the legal experts. Also, make sure to collate together all relevant documents and file a timely claim with the insurance provider of your business. Try not to take any employee lawsuit personally, but be aggressive in defending your case. As much as possible, avoid getting into these unfortunate circumstances by addressing any issues arising promptly and adhering to the company rules and policies duly agreed upon and accepted by your employees.

Share via
Samantha Acuna is a writer based in San Francisco, CA. Her work has been featured in The Huffington Post,, and Yahoo Small Business.