Legal Question in Employment Law in California

I went to work for a Physician. At that time i did not know he was under investigation with the FBI for insurabce fraude. He did not make this information known in the interview. After I was hired and working for him I found out. He continued to tell the employees that no charges had been filed and it was comming to an end. This continued till April 2010 when he retired and than plead guilty to 5 counts of insurance fraude. Isn't an employer obligated to let potential employees know he was under investigation under the truth in hiring act?


Asked on 9/02/10, 8:45 am

2 Answers from Attorneys

Herb Fox Law Office of Herb Fox

I have never heard of the "Truth in Hiring Act" and I question whether it exists. There are common law and perhaps statutory "truth in hiring" legal theories (e.g., fraud in the inducement to accept a job, etc.) Whether you have such a cause of action will depend, on part, on whether you have been actually damaged by the physician's nondisclosure. The fact that you eventually learned of the investigation and remained working for your employer will cut against any such claim. If you believe that you have been damaged (for example, that your own professional reputation has been tarnished to the degree that you cannot find new work), you should consult with an attorney.

Nothing contained in this communication is intended to be, or shall be deemed as, legal advice, counsel, or services to on or behalf of any person or any entity. Usage of the LawGuru website is not intended to and shall not create any obligation or relationship between the user and the Law Office of Herb Fox, including but not limited to, an attorney-client relationship. The Law Office of Herb Fox does not and cannot warrant that any communication between the user of this Web site and the Law Office of Herb Fox shall remain confidential. Finally, your situation may be governed by deadlines that may or may not have already lapsed, and you may lose your rights if you do or did not act within those deadlines.

Read more
Answered on 9/07/10, 9:07 am
Terry A. Nelson Nelson & Lawless

What on earth would make you think that he was supposed to share damaging personal and confidential info with you or anyone else? Now, if he guaranteed you a specific term of employment and breached that agreement, you might have a claim, but if the 'company' is out of busines', there is no one to pursue. In general, unless an employee is civil service, in a union, or has a written employment contract, they are an 'at will' employee that can be disciplined or fired any time for any reason, with or without �cause�, explanation or notice.

Read more
Answered on 9/07/10, 10:58 am


Related Questions & Answers

More Labor and Employment Law questions and answers in California