Los Angeles Employment Contract Attorney
| Feher Law
- Top Rated Trial Firm
- Over $170 Million Recovered For Clients
- No Fees Unless We Win
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Los Angeles workers sign employment contracts, offer letters, arbitration agreements, commission plans, and severance releases that can shape their rights for years. Some of those terms are unenforceable in California, and others can quietly give up claims you did not know you had.
A Los Angeles employment contract attorney at Feher Law reviews and negotiates agreements before you sign and challenges unlawful terms after you have. See our Los Angeles employment lawyer page for the broader picture. You pay nothing unless we win a dispute.
Key Takeaways
- Most non-compete clauses are void in California under Business and Professions Code 16600. Since January 1, 2024, an employer that includes or tries to enforce one commits a civil violation, and a worker can sue for damages, an injunction, and attorney’s fees under section 16600.5.
- If you live and work mainly in California, your employer generally cannot require you to litigate or arbitrate a California claim in another state, or to give up California law, under Labor Code 925. The rule does not apply if you had your own lawyer negotiate that term.
- A pay plan built on commissions must be in a signed writing that explains how commissions are computed and paid, under Labor Code 2751.
- A severance agreement usually asks you to release your claims in exchange for money. The first offer is often negotiable.
- A contract review costs far less than a dispute. Bring the full document, including any handbook, equity plan, or arbitration agreement it refers to.
What Our Contract Review Covers for Los Angeles Workers
We read the whole package, not only the offer letter: the agreement itself, the equity or commission plan, the handbook acknowledgment, and any arbitration or confidentiality addendum. Then we tell you in plain language what each clause does, which ones California will not enforce, and which ones are worth negotiating.
For a new job, that means a written list of changes to ask for and a realistic sense of how much room you have. For an existing job, it means a response plan when an employer demands a new signature, withholds earned pay, or threatens to enforce a restriction. If a dispute has already started, we represent you in the demand, the negotiation, and, when needed, the lawsuit.
California and Los Angeles Employment Contract Law
California protects a worker’s freedom to change jobs more strongly than almost any other state. Business and Professions Code 16600 makes a contract void to the extent it restrains someone from practicing a lawful profession, trade, or business, and section 16600.1 makes it unlawful to put a non-compete in an employment contract. Since 2024, a clause that is void in California stays void no matter where the contract was signed (section 16600.5).
Several other rules do much of the work in everyday contract disputes:
- Choice of law and forum: under Labor Code 925, a worker who lives and works mainly in California can void an out-of-state forum or choice-of-law clause, and a court may award attorney’s fees to the worker.
- Commission contracts: Labor Code 2751 requires a signed writing that explains how commissions are calculated and paid.
- Inventions: Labor Code 2870 limits what an employer can claim of inventions you develop on your own time.
- Wages at separation: earned wages are due when you are fired, and an employer that pays late can owe waiting-time penalties.
- Arbitration: a mandatory arbitration agreement is enforceable only if it is fair, which is a common point of dispute.
Trade secret protection and narrow restrictions on soliciting a former employer’s customers or employees can still apply, so each clause has to be read on its own terms.
Verdicts & Settlements
$170M+ Recovered for California Workers & Injury Victims
Real case outcomes from Feher Law across personal injury and employment matters, resolved under California law.
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Past results do not guarantee future outcomes. Every case is evaluated on its specific facts under California law. View full results on our Case Results page.
Why Acting Fast Protects Your Case
Contract problems have short fuses in practice, and the legal deadlines are only the outer limit. A lawsuit over a written contract generally must be filed within four years, and within two years for an oral contract. Waiting is rarely the real danger, though.
- A job offer often expires in a few days, and your leverage to negotiate disappears once you have signed and resigned from your current position
- A severance offer may expire in as little as a few weeks, and signing it releases your claims
- Unpaid commissions and bonuses are easier to prove while the sales records and emails still exist
- A cease-and-desist letter about a non-compete usually sets a response date
Free consultations. No fee unless we win.
What Our Clients Say
Why California Clients Choose Feher Law
Super Lawyers 2022-2026 | Avvo 10.0 Superb | Gerry Spence Trial Lawyers College Graduate
Meet Our Team
Thomas Feher, Esq.
Founding Attorney
Stephen Wiard, Esq.
Senior Trial Attorney
Sandy Luu, Esq.
Associate Attorney
Alex Ballard, Esq.
Associate Attorney
Karen Parra, Esq.
Associate Attorney
Chase Nielsen, Esq.
Associate Attorney
Betsy Gomez
Managing Paralegal
Erica Feher
Chief of Operations
Austin Wallick, Esq.
Associate Attorney
Samantha Marquez
Legal Secretary
Marcela Guzman
Intake Specialist (Employment)
Alejandro Zelaya
Intake Specialist (Personal Injury)
Daniela Ramirez
Litigation Assistant
Marvin Rodriguez
Paralegal
Cassandra De Vera
Law Clerk
When to Have Your Los Angeles Employment Contract Reviewed
Ask for a review before you sign anything that sets your pay, ends your job, or limits your future work. In Los Angeles, the situations we see most often are these:
- Entertainment and media deal memos: short agreements that leave out credit, term, and termination rights and often refer to guild or union terms you also need to check.
- Commission and bonus plans: plans with clawbacks, shifting quotas, or a rule that you must still be employed on the payout date.
- Equity grants: stock options and restricted stock units with vesting schedules, short post-termination exercise windows, and acceleration terms.
- Physician and clinician agreements: call schedules, productivity formulas, and restrictions on where you can practice afterward.
- Executive agreements: severance multiples, change-in-control payments, and clawbacks that can run to dozens of pages.
- Separation agreements: a release of claims presented on the day you are let go.
Example: a Los Angeles account executive receives an offer with a base salary, a commission plan, and a clause that lets the company claw back paid commissions if a customer cancels within a year. Without review, the clawback can quietly turn earned pay into a debt.
Employers often give candidates only a few days to answer. We work to your deadline, and we tell you which terms to push on first.
The Clauses That Cause the Most Trouble
Most disputes trace back to a handful of clauses. These are the ones we check first:
Non-Competes and Restrictive Covenants in Los Angeles
Many employers still use restrictive covenants, sometimes in forms written for other states. If you have signed a non-compete, or if a former employer has threatened you over one, here is what matters:
- The clause is generally void if it stops you from working for a competitor after you leave, whatever the contract says about where it was signed.
- You can fight back: under section 16600.5, a worker can seek an injunction and damages, and a prevailing worker recovers attorney’s fees and costs.
- Forum clauses that move the dispute to another state may be voidable under Labor Code 925.
- Trade secrets remain protected, so do not take files or customer lists with you. We help you leave cleanly.
A letter that overstates what a clause can do still causes harm, because workers turn down better jobs or pay to settle claims a court would reject. We respond to those letters and, when necessary, file first.
Severance Agreements and Separation Terms
A severance offer is a negotiation, and the release is the price you are being asked to accept. Before you sign, we check the points that most often change the value of the package:
- Scope of the release: whether it covers only claims you know about, and whether it protects individual managers as well as the company
- Health coverage: whether the company will pay part of your COBRA or Cal-COBRA premiums for a set period
- Final pay: whether accrued vacation and PTO and earned commissions are paid separately from the severance, since they are owed anyway
- Confidentiality and non-disparagement: whether the clauses are mutual and whether they preserve your right to talk to government agencies
- Age 40 or older: federal law generally requires 21 days to consider a release (45 days for a group program) and 7 days to revoke it after signing
- References and timing: an agreed reference, an agreed announcement, and a payment date in writing
We negotiate these terms, and if the facts support a claim against your employer, we tell you what the claim may be worth so the offer is measured against it.
Commissions, Bonuses, Equity, and Final Pay
Pay disputes usually come down to what the contract promised and when the money became earned. In Los Angeles, the recurring ones are:
- Commissions: a plan must be in writing under Labor Code 2751, and commissions you have earned are wages. Disputes arise over who gets credit for a sale, clawbacks, and commissions that were closed before you left but paid after.
- Bonuses: a bonus that depends on objective targets and that you have met is owed. A truly discretionary bonus is different, and the label on the plan does not decide which one you have.
- Equity: vesting schedules, post-termination exercise periods, acceleration on a sale of the company, and plan valuations are governed by the grant documents, so the exact wording matters.
- Final pay: wages are due immediately when you are fired, and an employer that pays late can owe waiting-time penalties of up to 30 days of pay. Accrued vacation is paid out as wages.
- Deferred compensation: forfeiture clauses and payment dates that change after you leave.
We start by building the paper trail: the plan, the quota letters, the sales records, and the payroll history. Then we send a demand and, if needed, file suit.
Invention Assignment and Side Projects
Many agreements say the company owns anything you create “relating to” the business, or even anything you create while employed. Labor Code 2870 limits that. An employer cannot claim an invention you developed entirely on your own time without its equipment, supplies, or trade secrets, unless the invention relates to the employer’s business or to its actual or anticipated research, or results from work you did for the employer. Employers are also required to give written notice of this limit when they ask you to sign an assignment.
This comes up often for engineers, designers, writers, and other creators in Los Angeles who run a side project or a small business. We check whether the clause matches the statute, carve out your existing projects in writing before you sign, and push back on language that reaches too far.
How Our Contract Review Works
A contract review is quick when the work is organized. Ours runs in five steps:
- Collect the documents: you send the agreement and everything it refers to, and tell us your deadline.
- Mark the problems: we flag void clauses, one-sided terms, missing terms, and anything that conflicts with California law.
- Talk it through: we explain each issue and rank them, so you know what is a deal-breaker and what is only worth asking about.
- Negotiate: we propose redlines or speak with the employer’s counsel, depending on what you prefer.
- Follow up: if a dispute arises later, we already know the document and can act quickly.
Reviewing a Contract Before You Sign in Los Angeles
Before you sign, read the pay terms, bonus and equity vesting, termination and severance provisions, arbitration and venue clauses, and any restrictions on future work. Ask for the time you need, because a legitimate employer will give it. Send us the agreement for a free review, and we will tell you what is enforceable, what is not, and what to negotiate.
Contract Terms That Come Up for Los Angeles Workers
Non-compete clauses are void in California under Business and Professions Code 16600, and Business and Professions Code 16600.5 makes that true even when the contract was signed elsewhere. Arbitration agreements must be fair to be enforced. Commission plans must be in writing under Labor Code 2751, and invention assignment clauses cannot reach inventions you made on your own time without employer resources under Labor Code 2870. A severance release may also waive claims, and workers age 40 and over get time to consider and revoke it under federal law.
What to Expect When You Work With Feher Law
- Free first review: send the contract and we tell you whether a closer look is worthwhile.
- A plain-language walkthrough: we explain what each clause means for you in Los Angeles.
- A negotiation plan: we recommend what to ask for and how hard to push.
- Direct negotiation: we handle the back and forth with the employer or its lawyers.
- Dispute representation: if the employer breaks the agreement, we pursue the claim on a contingency fee, so you pay nothing unless we win.
How You Can Prepare for Your Contract Review
You know your industry and your employer better than anyone, and that helps us. A few things make a review faster and better:
- Send the complete document, including exhibits, equity plans, and policies it incorporates.
- Tell us your real deadline and your priorities, such as pay, flexibility, or the ability to leave later.
- Keep every email and message about the terms that were promised before you signed.
- Do not sign under pressure, and do not resign from your current job until the new agreement is final.
- Tell us about side projects, existing equity, or prior agreements that might conflict.
When an Employer Pushes an Unfair Term
Problems often start after you are already working: a new agreement you are told to sign or lose your job, a commission plan changed mid-year, or a threat to enforce a restriction. Our approach depends on what happened:
- A new agreement you are pressed to sign: we review it and advise on whether you can refuse, negotiate, or sign under protest.
- Unpaid earned compensation: we send a written demand with the contract terms and payroll records and file suit when the employer does not pay.
- An unenforceable restriction: we respond to the employer and seek relief under section 16600.5 when the clause is void.
- An out-of-state forum clause: we invoke Labor Code 925 to keep the dispute in California.
Contract Issues by Industry in Los Angeles
Different industries present unique employment contract issues. We provide targeted advice that accounts for the specific realities of your profession.
Tech, Startup, and Entertainment Roles
Startup and tech agreements often combine broad invention assignments, equity with long vesting and short exercise windows, and non-solicitation language. In entertainment and media, deal memos and short-term agreements can leave out credit, termination rights, and payment timing, and guild or union terms may sit on top of them. We read both together and flag where the paper does not match the deal you were promised.
Physicians, Nurses, and Clinicians
Physicians and clinicians face productivity formulas, call coverage, tail insurance costs, and restrictions on where they can practice afterward. California limits post-employment restrictions, but the other terms in a physician agreement still deserve a careful read before you commit to a group or hospital in Los Angeles County.
Sales Roles and Commission Plans
For sales roles, the commission plan is the contract. The plan should say when a commission is earned, how it is calculated, what happens to deals in the pipeline if you leave, and whether paid commissions can be clawed back. California requires a signed writing for commission pay, so a plan that exists only as a slide or an email is a red flag.
Executive Agreements and Severance Packages
Executive agreements are long and detailed. We focus on the terms that decide what you take home: severance multiples and triggers, definitions of cause and good reason, change-in-control payments, equity acceleration, and clawbacks. We also look at how the agreement interacts with tax rules on deferred pay, and we recommend that you bring your tax adviser in as well.
How California Contract Protections Compare With Federal Rules
California employment contract law differs significantly from federal contract law:
| Factor | California Law | Federal Default |
|---|---|---|
| Default employment status | At-will (Lab Code §2922) | At-will (varies by state) |
| Non-compete enforceability | UNENFORCEABLE (Bus & Prof §16600) | Generally enforceable if reasonable |
| Non-solicit of customers | Generally unenforceable | Generally enforceable |
| Non-solicit of employees | Generally unenforceable | Generally enforceable |
| Trade secret protection | CUTSA + DTSA | DTSA |
| Mandatory arbitration | Restricted (AB 51, ch. 711, 2020) | Generally enforceable (FAA) |
This comparison is a general summary and not legal advice. How these rules apply depends on the facts of your case, and no outcome is guaranteed.
Ranges Seen in Los Angeles Contract Disputes
Los Angeles employment contract dispute settlements depend on contract type and breach severity:
| Case Type | Typical Settlement | Severe / Punitive |
|---|---|---|
| Severance Dispute | $25,000 – $150,000 | $300,000 – $750,000 |
| Stock Option / Equity | $50,000 – $500,000 | $1,000,000 – $5,000,000+ |
| Non-Compete Defense | $25,000 – $200,000 | $500,000 – $1,500,000 |
| Breach of Employment Contract | $50,000 – $300,000 | $500,000 – $2,000,000 |
| Executive Termination | $200,000 – $2,000,000 | $5,000,000 – $20,000,000+ |
The ranges in this table are general illustrations and not a prediction of what any case is worth. Every case depends on its own facts, the evidence, the law that applies, and the insurance available. Past results do not guarantee a similar outcome. This is not legal advice.
Results in Employment Matters
Feher Law has recovered more than $170 million for clients across all practice areas. In employment matters, we secured a $1.4 million settlement for a client who was wrongfully terminated after taking time off. Past results do not guarantee a similar outcome, and every case turns on its own facts.
Rights an Employment Contract Cannot Waive
A contract cannot take away rights that the law treats as non-waivable. A clause that tries to is void to that extent, and signing it does not change that. Examples include:
- Minimum wage and overtime. The City of Los Angeles minimum wage is $18.42 an hour as of July 1, 2026, and the City’s Office of Wage Standards accepts complaints.
- The right to report violations of law and to be free of retaliation for it.
- The right to file a discrimination or harassment complaint.
- Workers’ compensation coverage for a job injury.
We also look at mandatory arbitration clauses. An arbitration agreement can be enforced, but it has to be fair, and terms that bar class actions where the law allows them, limit discovery unreasonably, or shift costs to the worker can be challenged.
Why Choose Feher Law for Your Contract
Contract work for employees is different from contract work for companies, and we do it from the employee’s side only. Tom Feher built the firm on trial work, which means we draft and negotiate with litigation in mind: clauses are written so they can be proven later.
We are direct about risk. If a term is probably unenforceable, we say so. If an employer is likely to hold firm, we say that too, and we help you decide what matters most.
Start With a Free Contract Review
Whether you are reviewing a new offer, trying to leave a job with a restriction hanging over you, or fighting over unpaid pay, the first step is the same: send us the paper. We will tell you what it means, what to change, and what you can do. Call (310) 340-1112 for a free consultation.
Last reviewed by Thomas Feher, Esq. – October 2026
Services We Offer
Our employment lawyers handle a wide range of workplace matters, including:
Frequently Asked Questions
What will a Los Angeles contract review or dispute cost me?
Is it too late to negotiate once I have started the job?
Is a non-compete clause enforceable in Los Angeles?
Can my employer force me to arbitrate or sue outside California?
How long do I have to sue for breach of an employment contract?
Should I sign a severance agreement I was just given?
Are my unpaid commissions protected?
Will my employer find out that I consulted a lawyer about my contract?
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Other Los Angeles Practice Areas
Feher Law also serves Los Angeles clients in these related practice areas:
- Los Angeles Wrongful Termination Lawyer
- Los Angeles Employment Lawyer
- Los Angeles Workplace Discrimination Lawyer
- Los Angeles Sexual Harassment Lawyer
- Los Angeles Retaliation Lawyer
- Los Angeles Brain Injury Lawyer
- Los Angeles Spinal Cord Injury Lawyer
- Los Angeles Amputation Lawyer
- Los Angeles CRPS Lawyer
For a general overview of how we represent Los Angeles County clients across all practice areas, see our Los Angeles Personal Injury Lawyer page.