Can company be sued for late distribution of an employee’s check?

UPDATED: Nov 11, 2011

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Nov 11, 2011Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

Can company be sued for late distribution of an employee’s check?

For a company that habitually distributes late checks to employer, can the company be sued?

Asked on November 11, 2011 under Employment Labor Law, New York


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

As a legal matter, probably yes--by distributing the paychecks late, the company is likely violating state law on the subject (while you do not indicate which state you are from, most states have laws detailing how frequently paychecks must be distribute); it is also likely violating the agreement, even if only an implicit one, with the employees, in that they performed their work in expectation of being paid by a certain date. This could provide the grounds for a lawsuit.

As a practical matter, it is highly unlikely it is worthwhile doing this. In U.S. law, people may generally only sue for their actual injuries, out of pocket losses, etc. If being paid late--but still ultimately being paid--does not cause somehow significant monetary loss or similar injury to the employees, the lawsuit would cost far more than they could recover.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption