Wrongful Termination Claim

Definition of 'Wrongful Termination Claim'


A claim filed in a court of law by someone who believes they were wrongly terminated from their job. Wrongful termination claims are filed when an employee believes they have been fired in violation of federal and state anti-discrimination laws, oral and written employment agreements, or labor laws, including collective bargaining laws. Employees who feel their termination was a form of sexual harassment or is in retaliation for having filed a complaint or claim against the employer may also file a claim.

Investopedia explains 'Wrongful Termination Claim'


Employees who have not been fired yet can negotiate for an appropriate severance package. If they have been fired, they could ask for repayment of money damages. When faced with this type of situation, it is recommended that the employee avoid acting on negative instincts toward the employer but instead contact an employees' rights lawyer for advice and representation. It's also essential to first read the employment contract to find out what rights and resources the employee has available.



comments powered by Disqus
Hot Definitions
  1. Joint Venture - JV

    A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. This task can be a new project or any other business activity. In a joint venture (JV), each of the participants is responsible for profits, losses and costs associated with it.
  2. Aggregate Risk

    The exposure of a bank, financial institution, or any type of major investor to foreign exchange contracts - both spot and forward - from a single counterparty or client. Aggregate risk in forex may also be defined as the total exposure of an entity to changes or fluctuations in currency rates.
  3. Organic Growth

    The growth rate that a company can achieve by increasing output and enhancing sales. This excludes any profits or growth acquired from takeovers, acquisitions or mergers. Takeovers, acquisitions and mergers do not bring about profits generated within the company, and are therefore not considered organic.
  4. Family Limited Partnership - FLP

    A type of partnership designed to centralize family business or investment accounts. FLPs pool together a family's assets into one single family-owned business partnership that family members own shares of. FLPs are frequently used as an estate tax minimization strategy, as shares in the FLP can be transferred between generations, at lower taxation rates than would be applied to the partnership's holdings.
  5. Yield Burning

    The illegal practice of underwriters marking up the prices on bonds for the purpose of reducing the yield on the bond. This practice, referred to as "burning the yield," is done after the bond is placed in escrow for an investor who is awaiting repayment.
  6. Marginal Analysis

    An examination of the additional benefits of an activity compared to the additional costs of that activity. Companies use marginal analysis as a decision-making tool to help them maximize their profits. Individuals unconsciously use marginal analysis to make a host of everyday decisions. Marginal analysis is also widely used in microeconomics when analyzing how a complex system is affected by marginal manipulation of its comprising variables.
Trading Center