Thought help: I have a small business with a staff of 12 includeing me. - Help.com

Nobody can help you without knowing ALL facts about.
But you HAVE to see a lawyer!
And stay away from any publications by news agencies (they are anyway not interested on such stories at all) or such, because you could be charged with defamation!

fran wrote:
I have attorneies now and it is becoming very expensive to defend the business, that is why I started to think about alternative actions. This case is so fraudulent that I thought if I could get a news agency to look at it, it would not only help us, but it may help other businesses in a similar situation. The Plaintiffs are only in interested in taking advantag of the system. In calfornia an employee can sue at no cost to them. This leaves all of the cost on the employer. The estimated cost of defending the company is $100,000, which is far nore than any small business can afford. Getting the story out to the public might help.

No, as I said, you risk to be charged with defamation, which can cost you a fortune!
You can inform the media if the lawsuit will be finished — in favour of you.
But better and less cost-intensive could be — depending on the case, of course — to make an extrajudicial settlement with the other party.
And keep in mind: To be right and to got right are two different things!

fran wrote:
Same problem. They want to much. This case os nothing more than extortion. Maybe Michael Moore would like to do a movie about what it is like to be a small businessman in California.

Oh no, forget it!

My dear small business owner, tell your lawyers to COUNTERSUE for violating a non-competition clause or understanding among all of you. Countersue for damages. Go on the offense!

With a countersuit, they’ll think twice about going ahead with their own suit!

With all due respect, this post doesn’t sound or smell right.
It’s completely illegal to undermine the business you are employed with.
Common sense and most lawyers don’t need advice how to proceed with their defense.
You do not sound like a business owner to me.

What is the real problem?

See a bureaucrat as you are an employer who creates economic wealth for the community.
The law does have an avenue to protect you.

I don’t know law much less California laws relating to employment. I’m a bit confused from your opening statement. Did both husband and wife work for you at one time or only one of them? Do you have in your hiring contract a non-compete clause? What is the other company that they worked for… a competitor of yours? If so you may be able to sue this company, not just your ex-employee(s). How far has the case progressed so far? Is it only a single judge that is deciding this? Since they brought the suit against you the onus is on them to prove that you did something wrong such as non-payment according to the contract. If you withheld wages after learning of their sideline business you are in the wrong. Also if you failed to pay compensation they were entitled to you can be held liable for those too, I would think.

Be up front with your lawyer. Tell him you don’t have the funds to pay him/her fully at the moment. He will either have to change the amount he is going to charge you or recommend a different lawyer handle the case from now on.

If you are to defend this lawsuit, you need to prove that they were working for a competitor while on your clock. I don’t know how you go about doing this though.

And I agree with Zirbel; leave the press out of it. When Goliath goes after David, they will side with David every single time. Borrow the money or find a investor willing to spot you some capital for your defense. It matters not how long you have been in business or how loyal your employees are. Lemmings are just that. Lemmings.