Employer threatens remote employee with lawsuit for a second time after they hand in their resignation, despite them extending their notice period by 45 days: 'I just want out of this circus without getting a lawsuit thrown at me'

Author image for Brad Dickson
Brad Dickson • Managing Editor
Dec 17, 2025 12:00 PM EST

An employee who agreed to extend their notice period to help their employer is now facing threats of litigation after accepting a new job.

It should be no surprise that many "successful" people who run small businesses got there because of their tenacity, and, let's be honest, approaching their work and their business with levels of ferocity and obsession that others would find frightening. And it's something that has helped them survive the rigours of forging a successful enterprise. The entrepreneurial spirit normally requires all-consuming passion to achieve an abstract vision, along with grit, determination, and long hours to see it materialize.

The business will inevitably expand and grow with its success. And as it grows, the founder will need to bring more people on board, and one or two employees will expand to the point that a management structure needs to be put in place.

Eventually, it will reach the point where the owner needs a position in their company, and why not CEO? That sounds like an important title. Really, this means "owner" is the same as it was before, but it might fool new staff and clients for a moment or two before they connect the dots. Despite now retaining a title that speaks to their supposed experience and management skills, the nature of the growth they've experienced to this point and their success has never been tied to the management of people, having done everything themselves or within their family. 

They might be, and probably are, great with sales or promoting their business to others, but these are not the same skills that qualify for good people management. Managing people is another beast entirely. For one, you need to know how to consider people and their value outside of straight numbers, until they manage to replace all of us with AI there will always be an intangible art to managing people. 

Their approach to people is often the same ferocity they brought to their businesses from the outset, believing that if they can just bend people into the shape they want them to be, like they did their business, then everything will work out. This can create horrifying workplaces with no culture that sometimes cross or tread on the borderline of legality.

It's a bit like living with a roommate who owns the house; it's never the same as renting the entire house among equals. The roommate and owner of the home simply cannot approach situations of the treatment of and rights within the home, or financial discussions, in the same way as those living with them. Those who have lived in these situations will know that the stressed-out owner will be far more authoritarian about everything that happens in "their" house than you'd ever find in similar living arrangements. 

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  • An employee works in a remote meeting
    via Surface surface

    The image is representative only and does not depict the actual subjects of the story.

  • In both these growing small business employment situations, situations will always be distorted by this lens of viewing people as an unfortunate cost, not contributors, and simultaneously resenting them for not bringing the same obsessive attitude that they would. 

    It sounds like this is exactly the type of workplace that this employee found themselves in after falling victim to a "bait and switch" hiring process for a remote role. They began the role back in March and quickly became acquainted with the company's owner and “CEO,” who ran the place like Nurse Ratched in “One Flew Over the Cuckoo's Nest.” They were immediately moved onto another project than the one they had been hired for and were thrown into the thick of it with no training. 

    After growing tired of the toxic workplace culture, they handed in their notice, stating that they'd be willing to work their two-week notice period but no longer. Their employer responded that they were actually contracted to work through 30 days, and that they would take them to court for breach of contract if they did not uphold that. So, the worker agreed to work the 30 days, then asked them to stay until the end of the year, which they inexplicably agreed to. Now, with the end of the year quickly approaching, and a new job finally secured, they again tried to resign, to which their employer again threatened legal action since they had “agreed” to work through the end of the year. 

    This was all, of course, bluster and fireworks as the employer didn't have a leg to stand on, if they even had one to stand on to begin with, given that the employee was now over 45 days into their “notice period." But, as with all legal situations like this… do you really want to be the one to find out? Possibly finding yourself having to hire expensive lawyers just to get a phony lawsuit dismissed? 

    Far easier to do what you need to do to slip out the back door and leave things where they lie. 

    Frustrated, the worker shared their experience, seeking advice on what they should do to get out of the sticky situation they found themselves in. 

  • "Employer threatening litigation over me resigning TWICE"

    Good god almighty. I never thought I'd be finding myself in a position like this. I started a remote job back in March. Hired for one thing, quickly became a bait and switch and started me on another project with literally no training except a 20 minute phone call.
    via penguincrackers2019
  • The "CEO" is certifiably crazy. Runs the place like a cult. Micromanages EVERYTHING to the point she has to be included in every text message and email.
    via penguincrackers2019
  • Anyways I got sick of the awful work culture and put my notice in at the beginning of November. Said I'd work my 2 weeks and be done. They said actually no, our employment agreement says you have to work 30 days. If you refuse, we're taking you to court for breach of contract. So I agreed to do the 30 days.
    via penguincrackers2019
  • Somewhere in there, they asked me to stay until the end of the year because they were having a hard time hiring a replacement and wanted me to train them. I STUPIDLY AGREED.
    via penguincrackers2019
  • Well, I landed a new job and they want me to start ASAP so I sent my current employer and email being like look, at this point I've worked 45 days past my initial resignation date. I'm no longer able to continue effective immediately. All my work is done through today, yada yada.
    via penguincrackers2019
  • Well surprise, surprise, they emailed me back saying this: Based on your confirmation to continue working, we relied on your continued employment through December 30, 2025, which aligns with our payroll cycle and transition by planning.
    via penguincrackers2019
  • Your role during this period is critical to ensuring continuity of operations, including the timely and accurate submission and follow-up of billing and claims. An earlier departure would directly impact our ability to bill and reconcile claims properly and would create operational and financial disruption.
    via penguincrackers2019
  • *Company* expects you to fulfill your obligation so that an orderly transition can occur. *Their state* courts have recognized employers' right to recover reasonable costs and damages resulting from an employee's breach of a contractual notice requirement,
    via penguincrackers2019
  • and your Employment Agreement designates *their state* District Court as the proper venue for enforcement. If you decline to comply, *company* will document all resulting impacts and pursue enforcement of the Agreement in the appropriate court.
    via penguincrackers2019
  • Dude. I just want out of this circus without getting a damn lawsuit thrown at me. Everyone is telling me it's a scare tactic but wtf? Who threatens employees for quitting like this?!
    via penguincrackers2019
  • A yellow sticky note on a keyboard
    via Nick Fewings jannerboy62

    The image is representative only and does not depict the actual subjects of the story.

  • Watsons-Butler "Breach of contract" - look at your employment contract. Is there a specified penalty for failing to give notice or whatever? If no, what are they going to do if you just stop working? Fire you?
    via penguincrackers2019
  • OP penguincrackers2019 It doesn't say anything; just "if employee terminates employment, 30 day notice must be given." There's no "OR THIS WILL HAPPEN"
    via penguincrackers2019
  • Laughing_Man_Returns how many days has it been since your notice? fully expect them to sue anyway, because they sound like that kind of idiots.
    via penguincrackers2019
  • OP penguincrackers2019 45 freaking days!
    via penguincrackers2019
  • tconners If you are in the US: Pretty sure they have to abide by the rules of the state in which \you\ are physically working. There may be exceptions to that but that's the general rule as far as I can tell. Also, what does your contract actually say? I persume you have a copy of it, or they will prompty provide you a copy of it if you don't have one for any reason. I'd be interested to know what you do that they're fighting this hard to keep an employee that doesn't want to be there, when they
    via penguincrackers2019
  • OP penguincrackers2019 I literally make $20 an hour working in healthcare admin. They make it sound like without me, they are going to lose s0o0o much money. It's insane!
    via penguincrackers2019
  • Operation_Fluffy No liquidated damages clause? Something that reads like: the damage from breach is hard to ascertain so the parties agree to <some number>?
    via penguincrackers2019
  • OP penguincrackers2019 Literally, this is it: 1. At-Will Employment. The Parties' relationship shall be that of employer and employee. Nothing in this Agreement creates any joint venture or partnership. Employee is an at- will employee, meaning that Employee's employment may be terminated with or without advance notice, with or without cause, for any reason not prohibited by law, or for no reason whatsoever. Nothing herein creates a term of employment, and the employment relationship described h
    via penguincrackers2019
  • Hedonismls TheWay If they didn't make you sign anything stating you would stay beyond your thirty days notice, you're free to walk.
    via penguincrackers2019
  • OP penguincrackers2019 No, I just replied back in an email and said I would stay til the end of the year. Pretty sure that isn't binding.
    via penguincrackers2019
  • danktrees1212 Just call in sick for 2 weeks
    via penguincrackers2019
  • OP penguincrackers2019 Their PTO policy states you have to give 6 weeks notice. I shit you not.
    via penguincrackers2019
  • itsafunnything901 What state? Need to know as there are different laws in each one.
    via penguincrackers2019
  • OP penguincrackers2019 I'm in WV. They are in Utah.
    via penguincrackers2019
  • Q_x_Y_Z_ It's a scare tactic, don't cave in, duck them and don't reply
    via penguincrackers2019
  • CagaliYoll Contact your own lawyer. Recovery of any kind of 'losses' due to the resignation of an employee is practically impossible short of a c-suite level. If there is a single employee capable of running the software, or someone who can write out the billing by hand it's the business' problem.
    via penguincrackers2019
  • parkesc Stop stupidly agreeing to work for them. Tell them to show you the proof of whatever the fuck they're talking about. Maybe look into legal representation of your own.
    via penguincrackers2019

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