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socrateaser
socrateaser, Attorney
Category: Business Law
Satisfied Customers: 38910
Experience:  Retired (mostly)
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I am Technical Recruiter on a Corp-to-Corp project with an

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I am Technical Recruiter on a Corp-to-Corp project with an organization in CA. We have hired a few individuals for my client. I do not carry E&O or general liability insurance. I was told by my client to extend a verbal offer to the candidates. Unfortunately, we were told today our client we are servicing has put a freeze on hiring. Question: If I have to recind the offers am I possibly legally exposed? Thank you! Noel..
Submitted: 1 year ago.
Category: Business Law
Expert:  socrateaser replied 1 year ago.
Hello, 1. Employers must indemnify employees for all costs incurred within the scope of employment. Cal. Labor Code § 2802. There is an exception in the law where the employee is a government licensed professional (physician, lawyer, accountant, etc.). An HR recruiter falls squarely within the scope of Section 2802, so you cannot be held liable for any injury caused to an outside customer, as long as you were acting in good faith within the scope of employment. 2. Employment in California is "at will" by default. Cal. Labor Code § 2922. Consequently, unless you are offering employment where an employee can only be terminated for "cause" (e.g., gross negligence or willful misconduct), rescission of a job offer carries no liability, because the prospective employee has no right to future employment at any time, before or during the employment -- as the employer can terminate employment at any time, for any reason, or for no reason at all. There are exceptions to this rule -- principally related to unlawful employment discrimination (race, color, national origin, sex, age, disability, etc.). And, Cal. Labor Code § 970 prohibits a prospective employer from causing a prospective employee to relocate from one place to another via a misrepresentation (false statement of fact intended to induce justifiable, and detrimental reliance). But, this law is rarely enforced. Few employees have ever heard of the law, so they don't even know that they can sue if they move from one place to another in reliance upon an employer's job offer. Regardless, your employer is liable for the above-described errors or omissions, unless you acted outside the scope of employment. Bot***** *****ne, your risk is extremely low. I hope I've answered your question. Please let me know if you require further clarification. And, please provide a positive feedback rating for my answer (click 3, 4 or 5 stars) -- otherwise, I receive nothing for my efforts in your behalf.Thanks again for using Justanswer!
Expert:  socrateaser replied 1 year ago.
Hello again,I see that you have reviewed my answer, but that you have not provided a rating. Do you need any further clarification concerning my answer, or is everything satisfactory?If you need further clarification, concerning this matter, please feel free to ask. If not, I would greatly appreciate a positive feedback rating for my answer (click 3, 4 or 5 stars) – otherwise, I receive nothing for my efforts in your behalf.Thanks again for using Justanswer!