Supplemental materials for LEAP 2025 session You’ve Been Sued: How to Prepare and Prevail
Some laws carry the prospect of personal liability. What does that mean? Laws like the FMLA and the Fair Labor Standards Act permit employees to sue individuals—not just employers—including HR professionals.
The practical impact: You could wind up having to forfeit personal assets—including your house, car and savings—if a court finds that you violated the law.
If you are ever personally sued by an employee, here is what you must do right away:
1. Contact an attorney. Immediately talk to your organization’s legal office and your own attorney. “Immediately” is the operative word. Lawsuits include strict deadlines stating when parties must respond. Missing one of those deadlines can mean instant liability—with almost no possibility of appeal.
2. Contact your employer’s insurance carrier. Insurers often provide legal counsel and work closely with company attorneys to prepare a defense. If you carry individual liability coverage, contact your insurance carrier or agent.
3. Clarify who will defend you. Find out if your organization will supply and pay for your defense. Most companies will stand behind you if you were acting on their behalf. If you have an employment contract, review it to see if you’ll be indemnified for any damages you are ordered to pay. If you have no written contract, try to secure your employer’s intentions in writing.
Final tip: If the case settles, make sure the settlement covers you as well as the organization. This is another reason to have your own attorney review all documents.
Interested in joining HR Employment Law Advisor? For a limited time, LEAP 2025 attendees can get an annual membership at 30% off at https://www.hremploymentlawadvisor.com/leap30.