CSLB Law & Business ExamEmployment RequirementsHard

An employee believes she was denied overtime wages under the Labor Code and did not have a written employment contract specifying pay terms. What is the general statute of limitations for filing a claim to recover those unpaid statutory wages in California?

  1. A2 years
  2. B4 years
  3. C1 year
  4. D3 years
Show answer & explanation

Correct answer: D. 3 years

Claims for unpaid wages, including overtime, arising under the Labor Code generally carry a three-year statute of limitations. A four-year period applies only to claims based on a written contract or brought under the Unfair Competition Law, which is distinct from a straightforward statutory wage claim.

Why the other options are wrong

  • A. Two years is not the standard period for Labor Code wage violations.
  • B. Four years applies to written contract claims or UCL actions, not this scenario.
  • C. One year is too short and does not apply to standard wage claims.

Wage Claim Statute of Limitations

Claims for unpaid statutory wages, such as overtime, generally must be filed within three years in California, absent a written contract extending the period to four years.

  • 3 years: standard statutory wage claims (overtime, minimum wage)
  • 4 years: claims based on written contracts or UCL actions
  • 1 year: applies to certain penalty-only claims like wage statement penalties

Memory trick: Three years for statutory wages, four if it's in writing.

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