It Ends With Us: How Harassment, Retaliation Claims Could Apply to Out-of-State Employees

May 21, 2026 | From HRCalifornia Extra

By Michelle Galbraith, Employment Law Expert, CalChamber

It’s not often that a blockbuster movie filmed in New Jersey could have a New York lawsuit relevant to California employers, but a decision last month from the Southern District of New York offers exactly that.

In evaluating the merits of a motion to dismiss, the court considered how California law applies to out-of-state conduct as well as liability for harassment and retaliation. Ultimately, the court held that portions of a major Hollywood actress’ lawsuit could proceed to trial (Lively v. Wayfarer Studios, LLC, et al., (1:24-cv-10049) District Court, S.D. New York). Here’s how employers could face liability issues related to California’s Fair Employment and Housing Act (FEHA), even if their remote employee never works in California.

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