The right to sue letter is a letter originating from an administrative agency or an employer. A state or federal administrative agency or an employer approves the right to sue letter when someone wants to sue a party based on a violation of state or federal regulations. Certain laws require the agency to give notice to the party that a party is filing a lawsuit. To fulfill the legal requirements, the agency or the employer must issue the right to initiate a case to the other party that states the period for trial procedures and what matter the agency is suing the party. The right to sue letter is generally used in the labor law context and may protect employees from unfair discrimination or like-practices.
For example, if an employer fires an employee based on their gender identity or ethnicity alone, then it would be an illegal act on behalf of the employer. In this case, the employee may file a claim to the EEOC (the United States Equal Employment Opportunity Commission) to get the employer to obtain a right to sue letter. Thus, the employee must first go to the HR office for a possible solution to the unfair discrimination claim (sometimes called the “conciliation” process). The employee going through such processes demonstrates that they have exhausted all administrative remedies, which left them no option but to file a lawsuit. If nothing works out from there, then the employee can contact the EEOC for the right to sue letter, where the EEOC will investigate the employee’s claim to see whether or not there was a just cause. If the EEOC deems that there was no reasonable cause for employment termination, then the EEOC will send the employee a notice of right to sue via the right to sue letter. The employee may file a lawsuit within 90 days after obtaining the right to sue letter. It takes the EEOC around ten months to investigate a discrimination claim from a typical employee. However, in some instances, the employee may be able to request the right to sue letter before the EEOC thoroughly completes the investigation.
In many cases, if an employee wishes to file a lawsuit against their employer, they must receive a right to sue letter prior to the actual filing of the lawsuit. However, some exceptions to the right to sue letter requirement exist. For example, if an employee is pursuing a legal action based on the violations of either the Equal Pay Act of 1963 or the Age Discrimination in Employment Act of 1967, then the employee can file a lawsuit without the right to sue letter. Some forms of workplace discrimination that an employee may file a lawsuit against their employer are violations of Title VII of the Civil Rights Act of 1964, the Americans with Disabilities Act, the Pregnancy Discrimination Act, and the like.
See: United States Equal Employment Opportunity Commission on filing a lawsuit, the Civil Rights Department of the State of California.
[Last updated in May of 2024 by the Wex Definitions Team]