Law Firms Facing a Rising Number of Employment Related Lawsuits

Law Firms Facing a Rising Number of Employment Related Lawsuits

Employment Practices Liability (EPL) claims are something that lawyers face on a regular basis. EPL claims can arise against any business through allegations of discrimination, wrongful termination, wage & hour disputes, and more. But have your attorney clients considered what would happen if they were faced with an EPL claim themselves?

Law firms are certainly not immune from litigation due to Employment Practices Liability. Even a single EPL lawsuit could have devastating financial consequences for lawyers and attorneys. For example, in 2007 the EEOC brought a lawsuit against a large law firm that involved an allegedly legally flawed retirement policy. The suit resulted in the law firm settling the suit with $27.5 million. Even more recently, in 2011 the EEOC filed a similar age-bias suit against an international law firm. This also ended in a huge settlement.

So how can law firms reduce the likelihood of facing a claim such as this? A few steps they can take include:

• Properly maintaining personnel records
• Establishing comprehensive anti-discrimination and sexual harassment policies
• Standardizing approaches to performance appraisals and promotions
• Providing manager and employee training
• Consistently communicating

While these measures can definitely help your clients, the only 100% fool-proof way to protect themselves financially is with an Employment Practices Liability Insurance policy for Lawyers. At PL Risk, we feel that no matter the size of your client’s business, an EPL policy should be part of their comprehensive insurance program. Please contact us today at (855) 403-5982 to learn more about our programs.