Conspiracy to defuad Calif EDD

UPDATED: Oct 1, 2022

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Conspiracy to defuad Calif EDD

On 11/13/17 my position was eliminated. I had eight months remaining on my
contract. I received a severance offer where they calculated 8 months of my
unemployment insurance then added their own monies to pay off my contract. I am
very upset with this. For one is says I am unemployable. Second, it encourages me
to stay unemployed and seek no employment in order to fulfill the eight months of
their severance. I would have to lie to EDD in Calif and not take work. Also,
unemployment in Calif is only 6 months. I believe they are conspiring to defraud
EDD as part of my severance. Case?

Asked on December 27, 2017 under Employment Labor Law, California


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

If the contract guaranteed you a job for the remaining 8 months--not merely that they had expected it to be another 8 months of work, but that is you had a written contractual committment to another 8 months of work--*and* the contract prevented you from being terminated for the reason you (or your position) was eliminated, then you could sue for the remaining 8 months of salary unless they pay it in full to you. In this case, you would have a contractual guaranty of that money; they would either pay you what you are entitled to (or enough that it's not worth suing over the difference) or you could bring a lawsuit.
As stated, however, it must be an ironclad guaranty of the work--if they had legal grounds or discretion (i.e. freedom) to cut it short or terminate it in these circumstances, then they could terminate your position earlier. In that case, they could offer you whatever they wanted in severance and you would not have much leverage to ask for anything more or different.
So the issue is the contract: does it give you leverage to require them to pay you what you want? or does it not protect you, and you have to take whatever they want? That will depend on the terms of the contract and whether it gave them any right to terminate your employment.

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.

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