California employment case index

The Department of Consumer Affairs refused to discuss settlement, refused to stipulate to an amendment, demurred, moved for summary adjudication, rejected a $600,000 section 998 offer and lost a six-week trial – and then appealed the $4,889,786.03 fee award that followed. Division Eight affirmed all of it: top-of-market Los Angeles rates supported by the trial judge's own observation of counsel, a 1.75 multiplier through verdict and 1.25 on the fee litigation, and two holdings with reach – that a fee payable from public funds does not bar an enhancement, and that Ketchum's rule does not apply to FEHA fees, which section 12965 makes discretionary and therefore contingent until the final fee order.

A jury found that the Department of State Hospitals discriminated against Ashley Howell because of a mental disability, and awarded her lost earnings, lost health insurance, and nothing for pain and suffering. By the end of the appeal the insurance award was gone, the zero pain-and-suffering verdict stood, and a $1.75 million attorney fee request had been reduced to $135,102. The insurance award fell because Howell proved an obligation rather than a loss: she introduced a premium invoice she never paid, and she bought no replacement coverage, so there was nothing to compensate. The fee award survived because the trial court could not audit block-billed hours and because the request had grown more than tenfold from counsel's own pretrial estimate. Howell's only appellate win was a remand to rule on the prejudgment interest nobody had opposed. This is an adverse decision, and its value to the plaintiff's bar is as a checklist of what the damages and fee record has to contain.

In Naranjo II (2024) 15 Cal.5th 1056, the California Supreme Court holds that an employer’s objectively reasonable, good-faith belief that its wage statements complied with the law defeats both Labor Code § 226 penalties (no “knowing and intentional” violation) and § 203 waiting-time penalties (no “willful” failure) — harmonizing the two penalty statutes around a common good-faith defense.

Naranjo v. Spectrum Security Services, Inc. (Naranjo I)Premium pay owed for missed meal and rest breaks under Labor Code section 226.7 constitutes “wages,” so it must be reported on wage statements under section 226 and is subject to waiting-time penalties under section 203 when not timely paid at separation.Naranjo v. Spectrum Security Services, Inc. (2022) […]

Government Code section 12965(b) governs both fee and cost awards in FEHA actions and makes them discretionary under the asymmetric Christiansburg standard: a prevailing plaintiff ordinarily recovers fees and costs, but a prevailing defendant may recover them only if the action was objectively frivolous, unreasonable,…

The Sixth District affirmed summary judgment for the City, holding that a five-year pattern of stripping a female employee's coveted technical duties was "a collection of isolated employment decisions" that had acquired permanence by 1996 under Richards v. CH2M Hill — and that a biased supervisor's sexist remarks could not show pretext where he neither knew of her candidacy nor took part in the challenged hiring.

Attorney fees awarded under section 12965 belong to the attorneys whose services earned them, except to the extent the attorneys and client have entered an enforceable agreement providing otherwise; the portion of a statutory fee award exceeding fees the client already paid does not belong to the client by default.