Back Pay Ruling Shows Nuanced Test For Extended Liability

Law360 (February 14, 2020, 4:04 PM EST) -- In a Jan. 10 decision in Santiago v. Meyer Tool Inc.[1], the U.S. District Court for the Southern District of Ohio held that the defendant is entitled to discovery regarding the reasons for the plaintiff's termination from subsequent employment because a defendant may seek to toll its liability for back pay where an employee's termination from a subsequent employer was willful.

The decision underscores an important misconception about back pay damages in wrongful termination cases. Employers and their attorneys defending wrongful termination claims often assume that back pay liability ends when the plaintiff finds a commensurate job after termination. But many may be surprised to...

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