Legal Question in Business Law in California

Re: Faulty EDD Claims

Your question suggests you are thinking about a tort action, perhaps for abuse of process or defamation or both.

I would be rather cautious about filing suit against anyone who attempted to assist employees in asserting a supposed right before the EDD. You would probably have to prove that he acted maliciously and that it wasn't just a misunderstanding or his incompetence that resulted in the filing of a defective claim, and you would probably also have to show that the claim was totally without merit, rather than merely "faulty."

It is, for example, possible that your suit could be deemed a "strategic lawsuit against public participation" (a so-called "SLAPP-suit") and subject yourself to liability for the other party's legal expenses.

If you are pretty sure (after consulting with an attorney) that you can prove malice or otherwise make a strong case against this individual, then go ahead; but wannabe guardians of employee interests are given a lot of slack to make innocent mistakes.

Another possibility is that, since this person was your consultant, that he has breached some contractual duty or fiduciary duty which could also be grounds for a suit.

Re: Faulty EDD Claims

Are you saying that you appealed and won? I would have to research this issue, but perhaps an action for abuse of process or presenting a fraudulent claim, such as exists for fraudlent workers compensation claims may exist.