Attorney Publication
Sep 3, 2010
Eric Steinert Published in Daily Journal
"Forced Patronage, No Longer The Wage and Hour Bridesmaid?"
Eric Steinert authored the article, "Forced Patronage, No Longer The Wage and Hour Bridesmaid?" The article discusses the recent court filings that suggest that California's forced patronage law has received increased attention from the class action plaintiffs' bar and may not remain the wage and hour bridesmaid it has been in the past. According to his article, California law prohibits "forced patronage" by an employer. In other words, an employer cannot force an employee to purchase anything from the employer or anyone else. More specifically, Labor Code Section 450(a) provides that no employer "may compel or coerce any employee, or applicant for employment, to patronize his or her employer, or any other person, in the purchase of any thing of value."
Eric notes that recent court filings suggest that forced patronage claims may now have their own special day. The following alleged employer practices are being challenged repeatedly on a class basis: financial institutions allegedly requiring employees to conduct certain financial transactions through the employer or a particular firm; and retail employees allegedly required to purchase certain brands of clothing and shoes.
Eric points out that all employers should review their policies and practices, particularly regarding uniforms, clothing, and footwear. Any policy requiring employee purchases should be reviewed with an eye toward Section 450.