📋 Overview

You've received a PAGA notice - this is a serious matter requiring immediate attention. PAGA allows employees to sue on behalf of all "aggrieved employees" to recover civil penalties that would otherwise only be available to the Labor Commissioner. Understanding the cure period and response options is critical.

⚠ 65-Day Deadline

You have 65 days from the date of the LWDA notice to cure certain violations. After that, the employee can file a PAGA lawsuit in court.

🕒 Representative Action

Unlike class actions, PAGA claims don't require class certification. The employee can represent all "aggrieved employees" automatically.

💰 Penalty Distribution

75% of PAGA penalties go to LWDA, only 25% to employees. But penalties accumulate quickly with multiple violations and employees.

How PAGA Works

  • Pre-suit notice - Employee must file notice with LWDA and employer at least 65 days before suing
  • LWDA review - LWDA has 65 days to investigate; if no action, employee can proceed
  • Cure opportunity - For certain violations, employer can cure within 33 days and avoid penalties
  • Penalties - $100 per employee per pay period (initial), $200 for subsequent violations
  • Scope - Covers all "aggrieved employees" within the 1-year statute of limitations
$450
Attorney Response on Letterhead

Case review, professional response letter, cure documentation. Critical for PAGA matters.

Schedule Review

🔍 Evaluate the Notice

Carefully review the PAGA notice to identify the specific violations alleged and determine your exposure.

Penalty Calculation Matrix

Violation TypePenalty Per Employee/Pay PeriodCurable?
Unpaid wages (LC 201-204)$100-$200Yes
Meal/rest break violations$100-$200Limited
Pay stub violations (LC 226)$100-$200Yes
Overtime violations$100-$200Yes
Minimum wage violations$100-$200Yes
Reimbursement violations (LC 2802)$100-$200Yes

📄 Notice Review

  • Date notice sent to LWDA (starts 65-day clock)
  • Specific Labor Code sections cited
  • Facts and theories alleged
  • Number of potential aggrieved employees

📝 Exposure Assessment

  • Number of affected employees
  • Number of pay periods at issue
  • Which violations are curable
  • Total penalty exposure calculation

📊 PAGA Penalty Calculation Example

50 employees x 26 pay periods x $100 penalty

Initial violations (50 x 1 x $100)$5,000
Subsequent violations (50 x 25 x $200)$250,000
Total penalties (one violation type)$255,000
Multiple violation types (x3)$765,000
Attorney fees (reasonable estimate)$200,000+
POTENTIAL MAXIMUM EXPOSURE$965,000+

⚠ Track Your Deadline

The 65-day period begins when the employee files the notice with LWDA, not when you receive it. Verify the LWDA filing date immediately. For curable violations, you have 33 days from the employee's notice to cure and provide written notice of the cure.

🛡 The Cure Period

Certain PAGA violations can be "cured," which prevents the employee from pursuing penalties for those violations. Understanding what can be cured and how is critical.

Curable Violations (LC 2699.3(c))

The following violations can be cured if you: (1) pay all amounts owed, (2) fix the underlying issue, and (3) provide written notice of the cure to LWDA and the employee within 33 days.

Violations under: LC 226(a) - pay stubs, LC 226.7 - meal/rest (limited), LC 510 - overtime, LC 1194 - minimum wage

Cure Requirements

To successfully cure: (1) Make employees whole by paying all wages/penalties owed, (2) Fix the underlying practice to prevent future violations, (3) File a cure declaration with LWDA within 33 days.

Important: You can only cure once for the same violation. Future violations cannot be cured.

Non-Curable Violations

Some violations cannot be cured, including: repeat violations after a prior cure, certain safety violations, and violations where the "injury" cannot be remedied (e.g., failure to provide meal breaks already missed).

Strategy: For non-curable violations, focus on settlement, contesting the merits, or manageability arguments.

💡 Cure Strategy

Even partial cures can significantly reduce exposure. If you can cure some but not all violations, do so. This eliminates penalties for the cured violations and demonstrates good faith, which may help in settlement negotiations for remaining issues.

Response Options

Based on your evaluation, choose the appropriate response strategy.

Early Settlement

Reach out to plaintiff's counsel to explore early resolution before they invest in litigation.

  • Lower total cost
  • Avoids discovery burden
  • Confidential resolution

Challenge the Notice

If the notice is defective (insufficient facts, wrong Labor Code sections), challenge its adequacy.

  • May require new notice
  • Buys time
  • Narrow cases

Prepare for Litigation

If violations are disputed and non-curable, prepare a defense strategy for potential lawsuit.

  • Preserve all defenses
  • Collect evidence early
  • Assess standing issues

🚨 PAGA Traps to Avoid

  • Missing the cure deadline - You only have 33 days from the employee's notice to cure
  • Incomplete cure - Must pay ALL employees, not just the one who noticed
  • No cure declaration - Must file written notice with LWDA confirming cure
  • Ignoring the notice - After 65 days, employee can file lawsuit without further notice

📝 Sample Responses

Copy and customize these response templates for your situation.

Cure Declaration to LWDA
LABOR AND WORKFORCE DEVELOPMENT AGENCY CURE DECLARATION PURSUANT TO LABOR CODE SECTION 2699.3(c) Re: PAGA Notice filed by [EMPLOYEE NAME] on [DATE] [EMPLOYER NAME] hereby provides notice that it has cured the alleged violations identified in the above-referenced PAGA notice as follows: 1. VIOLATION IDENTIFIED: [Describe violation - e.g., failure to include all required information on pay stubs per Labor Code 226(a)] 2. CURE ACTIONS TAKEN: a) All affected employees have been identified and paid all amounts owed, totaling $[AMOUNT] b) Payroll practices have been corrected effective [DATE] to ensure compliance c) [Describe specific remedial measures taken] 3. This cure was completed within 33 days of the employee's notice as required by Labor Code Section 2699.3(c). Dated: [DATE]
Response to Plaintiff's Counsel
We have received and reviewed the PAGA notice filed on behalf of your client on [DATE]. With respect to the alleged violations of Labor Code Section [SECTION], we have taken the following cure actions: - [Describe payments made] - [Describe practice changes] A copy of our cure declaration filed with LWDA is enclosed. Regarding the remaining allegations, we believe they are without merit because [briefly state basis for denial]. However, in the interest of avoiding protracted litigation, we are open to discussing resolution of these remaining claims. Please contact us within [14] days if you wish to explore settlement discussions before proceeding with litigation.
Settlement Negotiation Opening
We acknowledge receipt of the PAGA notice and have completed our internal review. While we dispute several of the allegations and believe we have strong defenses, we recognize that PAGA litigation is costly and time-consuming for all parties. We are prepared to engage in early settlement discussions. As a starting point for negotiations, we note: - The alleged violations affect approximately [NUMBER] employees over [NUMBER] pay periods - We have already cured [describe cured violations], eliminating that portion of the claim - Maximum theoretical exposure (which we dispute) is approximately $[AMOUNT] We propose a mediation with [mediator name] to explore whether a reasonable resolution is achievable before litigation costs escalate. Please advise if your client is amenable to this approach.

🚀 Next Steps

What to do after receiving a PAGA notice.

Day 1-3: Verify Timeline

Confirm LWDA filing date. Calculate your 33-day cure deadline and 65-day lawsuit deadline.

Day 4-14: Audit Violations

Review records for each alleged violation. Identify affected employees and pay periods.

Day 15-25: Calculate & Cure

For curable violations, calculate amounts owed and issue payments to all affected employees.

Day 26-33: File Declaration

File cure declaration with LWDA and send copy to plaintiff's counsel before Day 33.

If LWDA Investigates

  • Rare occurrence - LWDA investigates only a small percentage of PAGA notices
  • Cooperation - Respond promptly to any LWDA requests
  • Settlement - LWDA involvement can lead to supervised settlement

If Lawsuit Is Filed

  • Answer within 30 days - Standard civil litigation timeline applies
  • Discovery - Expect payroll records requests, employee depositions
  • Manageability - Challenge claim if truly unmanageable as representative action
  • Settlement - Most PAGA cases settle; court must approve any settlement

Get Professional Help

PAGA matters require immediate action and careful strategy. Get a professional response and cure documentation on attorney letterhead.

Schedule Consultation - $450