Top 3 Handbook Policies That Can Get You Sued

Yes, really. And yes, they’re probably in your handbook right now.

Let’s get real for a second.

Most employee handbooks were:

• Copied from the internet

• Borrowed from another company

• Written years ago

• “Set and forgotten”

And unfortunately… that’s exactly how businesses get sued.

If your handbook hasn’t been updated recently (or ever), these are the top 3 policies we see that create the biggest legal risk, especially for small businesses.

1. Your Attendance Policy

The most common lawsuit starter, and the sneakiest.

If your attendance policy includes phrases like:

• “Zero tolerance”

• “Automatic termination after X absences”

• “No exceptions”

That’s a problem.

Why this can get you sued:

Attendance policies must allow for:

• Legally protected leave (FMLA, state leave laws)

• Reasonable accommodations (ADA)

• Pregnancy-related absences

• Sick time laws

  
  

Rigid attendance rules that don’t allow flexibility for legally protected absences can lead to wrongful termination or discrimination claims.

What to do instead:

• Build flexibility into your attendance policy

• Reference applicable leave laws

• Avoid “automatic termination” language

• Train managers on when exceptions apply

2. Your At-Will Employment Disclaimer (Or Lack of One)

This one is HUGE.

If your handbook:

• Doesn’t clearly state at-will employment

• Contradicts itself

• Promises job security

• Guarantees progressive discipline

You’re increasing your risk.

Why this can get you sued:

Without a clear at-will disclaimer, employees may argue:

• Implied contracts

• Wrongful termination

• Unfair termination practices

Even well-intended language can be used against you.

What to do instead:

• Include a strong, clear at-will disclaimer

• Avoid language that sounds like a guarantee

• Clarify that policies may change at any time

• Require signed employee acknowledgements

3. Your Harassment & Complaint Reporting Policy

Outdated policies = dangerous policies.

If your harassment policy:

• Only allows reporting to one person

• Lacks confidentiality language

• Doesn’t outline an investigation process

• Hasn’t been updated in years

You’re exposed.

Why this can get you sued:

If employees don’t have clear, safe ways to report issues, or you can’t prove you followed your own process, your defense weakens fast.

Courts look at:

• your written policy

• how complaints were handled

• whether employees had multiple reporting options

What to do instead:

• Provide multiple reporting avenues

• Clearly outline investigation steps

• Include non-retaliation language

• Train managers on proper response

Bonus Risk: Policies You “Don’t Really Enforce”

If it’s written down, it matters.

Selective enforcement = discrimination risk.

If your handbook includes policies you:

• don’t follow

• apply inconsistently

• ignore unless there’s a problem

  
  

It’s safer to update or remove them than keep them “just in case.”

🐾 How AlphaDog HR Helps You Stay Protected

Handbooks aren’t just paperwork, they’re legal documents.

At AlphaDog HR, we help businesses:

• Audit handbooks for legal risk

• Update policies to reflect current laws

• Remove dangerous language

• Align policies with real practices

• Train managers on proper enforcement

• Create handbooks that protect you

If your handbook hasn’t been updated in the last year, or you’re not sure where it even lives, it’s time. We’ll help you fix issues before they become lawsuits.