Dear Governor Schwarzenegger:

I respectfully request your VETO of AB 793 (Jones), which would revise the statute of limitations law for any workplace claim or lawsuit relating to compensation, resulting in significant new employer liability and damages exposure for businesses.

AB 793 would effectively reset the statute of limitations each time an employee was paid, which would unreasonably expand employer liability in workplace law beyond even that in the federal Lilly Ledbetter Fair Pay Act of 2009, signed into law earlier this year by President Obama. Passage of AB 793 would potentially allow for decades-old lawsuits and indefinite damages amounts. Defendants in cases filed could face lost evidence, faded memories and witnesses no longer available.

Additionally, AB 793’s potential retroactive application to pending cases is concerning. There is nothing limiting it to prospective claims. Thus, it appears AB 793 could also breathe life into stale claims not yet filed. Finally, AB 793 invites abuse of California’s employment laws and frivolous claims when unwarranted litigation is already an issue under so many California laws.

I am concerned that this will pose unreasonable and exponentially greater liability for California employers. Public and private employers at this time in California's history do not need more litigation exposure.

For these reasons, I REQUEST your VETO of AB 793 when it comes before you for consideration.

Sincerely,
 
 

Veto AB 793

California CALA has been a part of a large coalition opposed to Assembly Bill 793 by Assemblyman Dave Jones. This legislation would revise the statute of limitations law for any workplace claim or lawsuit relating to compensation, effectively renewing the statute of limitations each time an employee's compensation is affected, including by each paycheck. AB 793 unreasonably expands employer liability in workplace lawsuits far beyond the federal Lilly Ledbetter Fair Pay Act of 2009, enacted earlier this year. CALA is concerned that this will pose unreasonable and exponentially greater liability for California employers.  

We are strongly encouraging the Governor to veto AB 793. Public and private employers at this time in California's history do not need more litigation exposure.