Quiz: Employment Law Horror Stories


Answer TRUE or FALSE to the following:

  1. If state law and federal law differ, you are required to follow whichever law favors the employee.
  2. For a harassment claim related to a risqué or offensive joke to require follow up at least two employees need feel it was offensive.
  3. The average out-of-court settlement for labor law violation related action is currently $25,000.
  4. Small employers typically have to follow nearly 65% of most labor laws.
  5. Employment Practices Liability Insurance will become effective if your premium is paid. 
  6. Claims of unfair termination put the responsibility on the employee to show why the termination was not discriminatory or retaliatory.

See answers, below.








  1. False: harassment and discrimination.
  2. False, just one.
  3. True.
  4. False, 95%, not 65%. 
  5. False. if you are in compliance, not if your premium is paid. 
  6. False, employer, not employee.