California employment case index

A divided First District panel threw out a $2.16 million defamation verdict, holding that a fired PG&E lineman's defamation claim was wrongful termination by another name: the statements came from the same conduct that caused the discharge, and the damages flowed from the job loss alone. Presiding Justice Tucher dissented in part, arguing the majority had invented an employer immunity the Supreme Court has already disclaimed. The California Supreme Court granted review, limited to whether a terminated employee may bring a defamation claim when the defamation contributed to the reasons for the termination, or must instead plead wrongful discharge. The opinion remains published and citable for persuasive value with the required review-granted notation; part II is unpublished. Analysis of a pending matter — confirm the status of S289581 before relying on anything here.

Stoneledge paid furniture sales associates on commission with a guaranteed $12.01 hourly draw that was deducted from later commissions. The Court of Appeal reversed summary judgment for the employer, holding that Wage Order No. 7 requires separate compensation for rest periods and applies equally to commissioned employees, piece-rate employees, or any other system that does not pay for rest breaks. The draws were not compensation at all – at best, interest-free loans.

In Lakin v. Watkins Associated Industries (1993) 6 Cal.4th 644, a unanimous California Supreme Court resolved three recurring procedural and damages questions: a postjudgment order denying discovery-sanction (cost-of-proof) attorney fees is separately appealable; a personal-injury plaintiff bears the burden of proving which portion of a general award is “damages for personal injury” before claiming Civil Code section 3291 prejudgment interest; and that interest never accrues on punitive damages. The court reversed the Court of Appeal and remanded.