Thaleaha McBee v. Team Industries, Inc.

**Worker Sued Employer Over Unemployment Benefits Information, But Court Rules Employer Protected** Thaleaha McBee sued her former employer, Team Industries, Inc., claiming the company defamed her or interfered with her rights when they provided information to Minnesota's unemployment office about her benefits claim. McBee argued that whatever the company told state officials harmed her reputation or wrongfully affected her unemployment case. The court ruled in favor of Team Industries and dismissed the lawsuit. The judge found that Minnesota law gives employers complete legal protection when they submit information to the state's Department of Employment and Economic Development about unemployment benefits. This protection, called "absolute privilege," means employers cannot be sued for what they report to unemployment officials, even if the worker believes the information was false or damaging. **What this means for workers:** If you disagree with what your former employer tells unemployment officials, you generally cannot sue them for defamation or similar claims based on that information. Employers have broad legal immunity when participating in the unemployment benefits process. However, you can still challenge incorrect information directly through the unemployment appeals process if it affects your benefits eligibility.