Protect Your Income From Unpaid Business Expenses

California Labor Code Section 2802 mandates that employers cover all necessary business expenses—from travel and cell phones to tools and equipment. If your employer refuses to reimburse you, we can help you recover every dollar owed.

Failure to Indemnify

Under California labor law, employers have a legal obligation to indemnify their employees for expenses and losses incurred in the course of their employment. This means that if an employee is required to pay for work-related expenses out of their own pocket, such as travel expenses, tools, or equipment, the employer must reimburse the employee for these expenses. Failure to do so is considered a violation of California labor law.
If an employer fails to indemnify an employee, the employee has the right to file a claim or lawsuit against the employer. In such cases, the employee may be entitled to recover the full amount of the expenses incurred, as well as any other damages resulting from the employer’s failure to indemnify, such as attorney’s fees and court costs. It is important to note that failure to indemnify is not limited to reimbursing expenses. Employers must also indemnify employees for any losses or damages that result from the employee’s work-related activities, such as legal judgments against the employee, fines or penalties imposed on the employee by a government agency, or damages caused to a third party while the employee is performing work-related duties.

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In summary, failure to indemnify is a serious violation of California labor law, and employers who fail to provide indemnification to their employees may be subject to legal action and significant financial penalties. Employers are encouraged to maintain accurate records of employee expenses and to promptly reimburse employees for any expenses incurred in the course of their employment.

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