Legal Question in Employment Law in California
Can a employee be sued If its company did not pay a vendor?
I ( a employee) of a relocation company authorized a 3rd party vendor to
transport a auto and Boat. I put this cost and as a 3rd party service on our
companies estimate / order for service document. We had a PO from the
shippers co. to pay the bill. They paid our company but our company did not
pay the 3rd party vendor. Now the 3rd party is suing me because I authorized
theie service. Can I be resposible as an employee? and will the court render
judgement against me. The total is $2450.
2 Answers from Attorneys
Re: Can a employee be sued If its company did not pay a vendor?
The Labor Code provides that employees are "indemnified" for expenses incurred during the performance of their jobs. Courts have held that this extends not only to judgments against the employee who is working within the "course and scope" of your job responsibilities. The third party should really be suing your employer, not you.
Re: Can a employee be sued If its company did not pay a vendor?
it all depends on the classification of your employment with the company. meaning, if you are a higher level employer (i.e. an officer, director, management, agent, etc..) you could have potential personal liability. however, if you are a normal, "everyday" employee, then you cannot be personally sued for your company's failure to pay an alleged debt. if you would like further assistance, contact us today.
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