Watson

INTRODUCTION

Shari Watson appeals a judgment entered after the trial court sustained the City of

Chula Vista's (the City) demurrer to her complaint for wrongful termination without leave to amend. Watson was employed by the City as an assistant to a city council

member. When Watson refused to comply with the council member's directive to deposit

a check received from Cox Communications (Cox) into what Watson believed was the

wrong account, she was terminated for insubordination.

Watson filed this action for wrongful termination under Labor Code1 section

1102.5, which prohibits an employer from retaliating against an employee for disclosing

information regarding illegal activity, or for refusing to participate in illegal activity. In

its demurrer, the City contended that depositing the check into the account as instructed

by the council member would not have been illegal and, therefore, Watson's termination

did not violate section 1102.5. The trial court sustained the demurrer without leave to

amend, finding that Watson failed to demonstrate any act of retaliation within the

meaning of section 1102.5 because depositing the check as instructed would not…