Posted on November 14th, 2019
Below is a complete transcript of this video.
What’s up, fellow entrepreneurs? Today, I wanted to talk about California’s reputation for being so business unfriendly and how it incentivizes people, employees to sue their employer.
The reputation, it has gotten so big that there are attorneys from other states now coming into California because it’s just easy money.
I had this client who hired another company to do sales for them, and it was a one-man company, this other particular company that was doing the sales, but he had other clients.
He had several. Basically, he was a independent salesman from another state. Well, he made a bunch of mistakes, lost a bunch of sales, and my client decided to cancel the contract.
Well, instead of just going away like a business should do when it’s made a mistake and the contract’s been terminated, he decided, “Hey, wait a minute. I’m over 40, and this business that I contracted with was in California. I might as well sue.”
Isn’t that interesting? So then I get a call from this attorney from another state, and he says that they’re suing unless my client pays all of this money.
I say to him, “Well, wait a minute. What are the facts that indicate that there’s any kind of discrimination?” because they were claiming it’s age discrimination.
First of all, it’s a separate company in a separate state. Second of all, the contract was terminated for cause. So what are the facts here?
He basically admitted to me that there are no facts here, but he knows that we’re in California, and that it’s going to be very expensive to defend it.
So might as well throw some money at it before a lawsuit happens. So that’s where we’ve come to in California.
It’s gotten so bad that even lawyers from outside of California know that they can extort money.
Anyway, that’s my rant for the day, my anti-California business rant.
Until next time, be productive.
