Employment: Partially Dismissed/Frivolous Claims For Unpaid Commissions Under Labor Code Resulted In Substantial Adverse Fee And Cost Awards Against Plaintiff

$245,531 Was The Fee Award And $8,489.76 Was The Cost Award.

               In Doustkam v. Sage, Case No. B321390 et al. (2d Dist., Div. 2 July 1, 2024) (unpublished), plaintiff claimed $747,000 in unpaid commissions under the Labor Code, dismissing some claims and losing other claims because of a lack of evidentiary support.  The trial court found plaintiff’s claims to be frivolous such that defendants prevailed.  The lower court then awarded $245,531 in attorney’s fees and $8,439.76 in costs to defendants under Labor Code section 218.5, determinations affirmed on appeal.  This shows how unsuccessful, frivolous cases can result in substantial expense exposure to a losing plaintiff under section 218.5.