The following excerpt is from Keenan v. Cox Commc'ns Cal., LLC, Case No.: 18cv129-MMA (LL) (S.D. Cal. 2019):
With respect to the nature of the cause of action, even if Labor Code section 970 sounds in common law fraud, it is a separate statutory creation that applies to a specific type of misrepresentation that the California legislature determined to be particularly odious and therefore worthy of a specific penalty. See Mercuro v. Superior Court, 96 Cal. App. 4th 167, 180 (2002) ("Labor Code section 970 also has a public purpose: to protect the community from the harm inflicted when a fraudulently induced employment ceases and the former employee is left in the community without roots or resources and becomes a charge on the community."). To give section 970 teeth, the California legislature promulgated section 972 and its double damages provision. This goes beyond
Page 12
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.