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Pretty sure my former employer is giving me bad references and costing me job offers - what can I do?

Started by jobseeker_frustrated · Sep 22, 2025 · 12 replies
For informational purposes only. Employment and defamation law vary by jurisdiction and specific circumstances. Consider consulting with an employment attorney.
JF
jobseeker_frustrated OP

I was let go from my marketing director position 4 months ago during a "restructuring." Left on decent terms, or so I thought. Since then I've had 6 final-round interviews where I was told I was the top candidate, only to be rejected after the reference check phase.

Two recruiters have hinted that "something concerning" came up during reference checks. One even said "you might want to look into what your former employer is saying about you."

I listed my direct supervisor as a reference (with her permission), but I suspect my former CEO (who I did NOT list) is being contacted and saying negative things. We had significant disagreements about marketing strategy before I left, and he took my departure personally.

Is there any way to find out what's being said? Can I sue for defamation? I'm in California and this is destroying my career.

EA
EmploymentAtty_LA Attorney

Employment attorney here. This is a frustrating situation but you do have legal options. California has some of the strongest protections against bad-faith references.

Key legal protections:

  • California Labor Code Section 1050: Makes it a misdemeanor for an employer to prevent or try to prevent a former employee from getting a job through misrepresentation. You can also sue for civil damages.
  • Defamation: If your former employer is making false statements of fact (not just opinions) that damage your reputation, that's actionable defamation.
  • Defamation Per Se: Statements that harm someone in their profession are considered defamation per se in California, meaning you don't have to prove actual damages - they're presumed.
  • Tortious Interference: Intentionally interfering with your prospective employment relationships is also actionable.

The challenge is proving what's being said. I'd recommend using a reference checking service first to document the actual statements.

JF
jobseeker_frustrated OP

Thank you. What's a reference checking service? How does that work?

Also, doesn't the employer have some kind of privilege or protection for giving references? I've heard they can say whatever they want as long as they believe it's true.

RC
RefCheckPro

There are services (like Allison & Taylor, CheckYourReference, etc.) that will call your former employer pretending to be a prospective employer conducting a reference check. They document exactly what is said - word for word.

It's completely legal. They're not recording without consent (in states where that matters) - they're just documenting a conversation. The person giving the reference doesn't have an expectation that a reference check is private.

Cost is usually $75-150 per reference checked. Worth every penny if you're trying to build a case.

HD
HRDirector_Anon

HR professional here with 20 years experience. Most large companies have strict policies to only confirm dates of employment and job title specifically to avoid defamation liability. If someone at your former company is going off-script and providing substantive negative information, that's likely a policy violation in addition to a potential legal issue.

As for the "qualified privilege" question - yes, employers have a qualified privilege for good-faith references. But that privilege is lost if:

  • The statements are knowingly false
  • The statements are made with reckless disregard for the truth
  • The statements are made with malice (intent to harm you)
  • The information is shared with people who have no legitimate need to know

Given that you mentioned personal animosity with the CEO, malice could potentially be established.

SS
SimilarSituation_2024

I went through this exact thing last year. Used one of those reference checking services and discovered my former manager was telling people I had been "let go for performance issues" when I had actually resigned. She also said I was "difficult to work with" and "had problems with authority."

Armed with that documentation, my attorney sent a cease and desist letter. Company's lawyers made her stop immediately and they settled with me for $35,000 (NDA so I can't say more).

The documentation is everything. Without proof of what they're saying, it's just your word against theirs.

JF
jobseeker_frustrated OP

I contacted one of those reference checking services. They're going to make calls next week and I'll report back with what they find.

In the meantime, I have another interview coming up. Should I proactively address this? Like mention that I had disagreements with my former CEO and he may give a biased reference?

HD
HRDirector_Anon

Delicate situation. I would NOT proactively bring it up during interviews - it can come across as making excuses or badmouthing a former employer.

Instead:

  • Provide specific references who you know will be positive (colleagues, direct reports, clients)
  • Request that they only contact the references you provide
  • If they insist on contacting your former company directly, ask that they speak to HR only for verification of employment

Many companies will respect these requests, especially in a competitive job market.

DM
DevilsAdvocate_Mike

Just playing devil's advocate here - is it possible the reference isn't the problem? 6 rejections after final rounds could also indicate:

  • Background check issues (credit, criminal records, verification of credentials)
  • Salary expectations that don't align once they see your history
  • Internal candidates being selected at the last minute
  • Budget cuts eliminating positions

Not saying you're wrong - the recruiter hints are concerning - but make sure you're not overlooking other possibilities.

JF
jobseeker_frustrated OP

Fair point, but two recruiters specifically said "reference check" was the issue. One literally said "you might want to look into what your former employer is saying." That's not subtle.

My background is clean - no criminal record, perfect credit, all credentials verified. And 6 for 6 failures after final rounds is statistically unlikely to be coincidence.

JF
jobseeker_frustrated OP

UPDATE: Got the reference check report back. It's worse than I thought.

When the service called my former company's main line and asked for a reference for me, they were transferred to the CEO directly (not HR). He said:

  • I was "terminated for cause" (FALSE - I was laid off in a restructuring)
  • I had "serious performance issues" (FALSE - I exceeded my targets every quarter)
  • He "would not recommend" hiring me
  • I was "difficult to manage" and "resistant to feedback"

The first statement is objectively false and provably so - I have my separation agreement that says "position eliminated." The others are false too but harder to prove.

I'm meeting with an attorney next week. This is clear defamation, right?

EA
EmploymentAtty_LA Attorney

This is a strong case. Saying you were "terminated for cause" when you have a separation agreement showing position elimination is a false statement of fact, not opinion. That alone could constitute defamation per se because it directly harms your professional reputation.

The "performance issues" statement may also be actionable depending on whether it can be characterized as fact or opinion, and whether you can prove it's false (sounds like you have documentation of meeting targets).

Key items to bring to your attorney meeting:

  • The reference check report
  • Your separation agreement
  • Performance reviews and any documentation of meeting/exceeding goals
  • Documentation of the 6 job rejections and any communications from recruiters about reference issues
  • Any emails or evidence of the CEO's animosity toward you

Your damages include lost income from the positions you didn't get, plus potentially punitive damages if malice is established. Good luck.

JF
jobseeker_frustrated OP

Long overdue update: My attorney sent a demand letter citing the reference check report, the separation agreement, and evidence of at least 4 lost job opportunities (I got written confirmation from 2 recruiters that the reference was the reason).

Former employer's insurance company got involved. After some negotiation, they settled for $85,000 plus a commitment that only HR will respond to reference requests with dates and title only.

I finally got a new job last month (made sure they only contacted my listed references). Salary is actually higher than what I was making before.

Key takeaway: DOCUMENT EVERYTHING. The reference check service was the best $100 I ever spent.

SJ
StuckJobSeeker_2026

Thank you for coming back to update. I'm in a similar situation and just ordered a reference check. Fingers crossed it gives me the evidence I need. Glad it worked out for you!

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