California Justices Sharpen Rules on Minimum Wage Violations

California employers can’t claim ignorance of minimum wage law to avoid paying penalties to employees who prove violations, the state’s high court ruled.

California Supreme Court justices ruled in a unanimous Thursday opinion that employers must show they tried to understand the law to argue that they acted in “good faith” to stave off mandatory liquidated damages.

What counts as a reasonable attempt will vary by context, with established businesses held to different standards than individuals who casually or irregularly employ others, the opinion said.

However, “in many cases, even established businesses with regular employees may be able to satisfy ...