Legal Resources

What to Do After a Car Accident in California

The first 24 hours after an accident are critical. What you do (and don't do) can directly affect your ability to recover compensation. Here's a step-by-step breakdown.

1. Stop and check for injuries. California Vehicle Code 20001 requires drivers to stop at the scene. Call 911 if anyone is injured.

2. Get a police report. Even for minor collisions, a police report creates an official record of what happened. Request the report number before leaving the scene.

3. Document everything. Photograph vehicle damage, the scene, traffic signals, weather conditions, skid marks, and any visible injuries. Exchange insurance information with the other driver.

4. Seek medical attention promptly. Even if you feel fine, get checked. Soft tissue injuries, concussions, and internal bleeding may not show symptoms immediately. Medical records from the day of the accident strengthen your claim.

5. Do not give a recorded statement to the other driver's insurance. Their adjuster's job is to minimize what they pay. Anything you say can be used to reduce your claim.

6. Consult an attorney before accepting any settlement offer. Initial offers from insurance companies are almost always below what your claim is worth. An attorney can evaluate the full value of your case, including future medical costs and lost earning capacity.

California's Comparative Negligence Rule, Explained

Many accident victims don't pursue claims because they think they share some blame. That's a costly mistake.

California follows a pure comparative negligence system. This means you can recover damages even if you were partially at fault. Your recovery is reduced by your percentage of fault, but it's never eliminated entirely.

For example: if you're found 30% at fault for an accident and your damages total $100,000, you can still recover $70,000. Even at 90% fault, you can recover 10% of your damages.

Insurance companies routinely exaggerate the claimant's fault percentage to lower payouts. Having an attorney who can challenge their liability arguments makes a significant difference in your recovery.

Statute of Limitations for Personal Injury in California

In California, you generally have 2 years from the date of injury to file a personal injury lawsuit (Code of Civil Procedure 335.1). For wrongful death, the deadline is 2 years from the date of death.

There are exceptions. Claims against government entities (cities, counties, the state) require a formal claim within 6 months of the incident. The discovery rule may extend the deadline if an injury wasn't immediately apparent. Minors may have additional time.

Missing the statute of limitations permanently bars your claim. If you're unsure about your deadline, consult an attorney immediately.

Was I Wrongfully Terminated? A California Employee's Checklist

California is an at-will employment state, which means employers can generally fire employees for any reason. But there are important exceptions. Your termination may be illegal if:

You were fired because of your protected status. Race, gender, age (40+), disability, sexual orientation, religion, national origin, pregnancy, and gender identity are all protected under California's Fair Employment and Housing Act (FEHA).

You reported illegal activity. California's whistleblower protections (Labor Code 1102.5) prohibit retaliation against employees who report violations of law to a government or law enforcement agency.

You filed a workers' compensation claim. Terminating an employee for filing a work injury claim is illegal under Labor Code 132a.

You requested FMLA/CFRA leave. Employees are entitled to up to 12 weeks of job-protected leave for serious health conditions. Firing someone for requesting or taking this leave is unlawful.

You refused to do something illegal. If your employer asked you to break the law and fired you for refusing, that's a wrongful termination in violation of public policy.

California Wage and Hour Basics Every Employee Should Know

Overtime: California requires overtime pay at 1.5x your regular rate for hours over 8 in a day or 40 in a week. Hours over 12 in a day or over 8 on a seventh consecutive workday are paid at 2x.

Meal breaks: Employees working more than 5 hours are entitled to a 30-minute unpaid meal break. A second meal break is required after 10 hours. If your employer prevents you from taking a break, you're owed one hour of pay at your regular rate.

Rest breaks: You're entitled to a paid 10-minute rest break for every 4 hours worked. The penalty for a missed rest break is one additional hour of pay.

Final paycheck: If you're fired, your employer must pay all wages owed at the time of termination. If you resign with 72 hours' notice, your final check is due on your last day. Late payment triggers waiting time penalties of up to 30 days of wages.

Misclassification: Employers sometimes classify workers as independent contractors to avoid paying overtime, benefits, and payroll taxes. Under California's ABC test (AB 5), most workers are presumed to be employees unless the employer can prove otherwise.

Filing a Workers' Comp Claim in California: Step by Step

Report the injury to your employer within 30 days of the date of injury (or the date you knew the injury was work-related). Verbal notice counts, but written notice is better. Failure to report within 30 days can jeopardize your claim.

Your employer must provide a claim form (DWC-1) within one working day of learning about your injury. Fill it out and return it. This officially starts your claim.

Get medical treatment. For the first 30 days, your employer's insurer controls which doctor you see (unless you pre-designated a personal physician). After 30 days, you may be able to switch providers.

The insurer has 90 days to accept or deny your claim. If they don't respond within 90 days, your claim is presumed accepted. During this period, the insurer must authorize up to $10,000 in medical treatment.

If your claim is denied, you have the right to appeal through the Workers' Compensation Appeals Board (WCAB). Many denied claims are successfully overturned on appeal. An attorney can significantly improve your chances.

LLC vs. Corporation: Choosing the Right Entity for Your California Business

LLC (Limited Liability Company): Flexible management structure, pass-through taxation by default, fewer formalities. Best for small businesses, real estate holdings, and partnerships. California charges an annual $800 franchise tax plus a fee based on gross receipts over $250,000.

C Corporation: Required if you plan to raise venture capital or go public. Separate tax entity (subject to double taxation unless profits are reinvested). California's corporate tax rate is 8.84%. Best for businesses seeking outside investment or planning an IPO.

S Corporation: Pass-through taxation like an LLC, but with stricter rules (limited to 100 shareholders, one class of stock). Can save on self-employment taxes compared to an LLC. California taxes S corps at 1.5% of net income, with the same $800 minimum.

The right choice depends on your specific situation: number of owners, tax implications, fundraising plans, and long-term exit strategy. Getting this decision right at formation prevents costly restructuring later.

When Your Insurance Company Denies a Legitimate Claim

Insurance companies have a legal obligation to handle claims in good faith. When they don't, California law provides remedies beyond the original claim amount.

Signs of bad faith: Unreasonable delays in processing your claim. Denying a claim without a thorough investigation. Offering significantly less than the claim is worth. Misrepresenting policy language to avoid paying. Failing to explain the reason for denial.

Your options: File a complaint with the California Department of Insurance. Hire an attorney to pursue a bad faith lawsuit. In a successful bad faith action, you may recover your policy benefits plus emotional distress damages, attorney's fees, and in extreme cases, punitive damages.

Bad faith applies to all types of insurance: auto, homeowner's, disability, life, and health. If your insurer is dragging its feet or denying a claim you believe is valid, consult an attorney to evaluate whether bad faith has occurred.