{"id":4772,"date":"2016-04-04T10:47:45","date_gmt":"2016-04-04T15:47:45","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/smallbusiness\/employment-law-and-human-resources\/things-to-consider-when-firing-employees.html"},"modified":"2026-08-17T16:45:55","modified_gmt":"2026-08-17T21:45:55","slug":"things-to-consider-when-firing-employees","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/things-to-consider-when-firing-employees.html","title":{"rendered":"How To Legally Fire an Employee To Minimize Lawsuit Risks"},"content":{"rendered":"\n
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How To Legally Fire an Employee To Minimize Lawsuit Risks<\/h1>\n\n
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\n By Catherine Hodder, Esq.<\/a> | Legally reviewed by Laura Temme, Esq.<\/a>\n | Last updated\n
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Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n <\/div>\n \n

\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n\n\n

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Key Takeaways<\/h2>\n

Legally terminating an employee means ending their employment for a legitimate, documented reason to avoid wrongful termination<\/span> claims. This process requires clear documentation of performance issues<\/span> or misconduct<\/span>, providing prior warnings, and following a fair, consistent policy. Even in at-will states, employers cannot fire someone for illegal reasons like discrimination or retaliation.<\/p>\n\n <\/div>\n <\/div>\n<\/div>\n\n\n

Terminating an employee is never pleasant, especially in a small business where you may know your workers personally. It\u2019s also important to understand the legal risks involved in letting someone go.<\/p>\n

This article provides a step-by-step guide to help you navigate the process and minimize those risks. If you have concerns about terminating a specific employment contract<\/span> or need help establishing the employee termination process for your business, consult with a local employment law attorney<\/a>.<\/p>\n

Establishing and Documenting Just Cause for Termination<\/h2>\n

Firing someone without cause or notice may be technically possible, but it\u2019s not a good idea. While at-will employment<\/span><\/a> allows termination for nearly any legal reason, having a clear, documented basis for the decision helps protect you in the long run. Firing an employee with a vague statement like, “You’re not working out,” creates significant risk. If that former employee later files a lawsuit alleging an illegal motive, such as discrimination, your company will be in a weak position to defend itself without documented proof of a legitimate, non-discriminatory reason for the termination.<\/p>\n

Legally defensible reasons for termination typically fall into five categories:<\/p>\n