Visalia, CA asked in Employment Law for California

Q: CA small business closed and I was laid off. I haven't received my last paycheck. What do I do? Am I owed compensation?

Small business of supposedly less than 25 employees. I believe the business was suspended by the FTB, and has taken two PPP loans.

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2 Lawyer Answers
Neil Pedersen
Neil Pedersen
Answered
  • Westminster, CA
  • Licensed in California

A: You have the right to be paid, but the issue will be whether there is money to pay you. It sounds like the business has ceased doing business which suggests the is no more money.

If you want to proceed, you should consider filing a claim with the Labor Commissioner's office. However, actually getting paid will be problematic. Your best chance of success is to make the owner liable under one of a few theories. The problem will be getting an attorney to fight that battle over one final paycheck plus Waiting Time Penalties.

Good luck to you.

Brad S Kane agrees with this answer

1 user found this answer helpful

Brad S Kane
Brad S Kane
Answered
  • Los Angeles, CA
  • Licensed in California

A: You have a claim for waiting time penalties against the both business and its officers, directors and managers, who were responsible for the decision not to pay you. You are entitled to your final compensation plus one day's pay for each day late up to a max of 30 days.

You can file a complaint with the Labor Commissioner or have an attorney assist you. Attorney's fees are recoverable.

1 user found this answer helpful

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