Shaw v. Psychemedics Corporation

**What Happened** An employee sued Psychemedics Corporation, a drug testing company, claiming the lab made errors when testing their sample and reporting results. The key legal question was whether drug testing labs have a responsibility to be careful and accurate when testing employees' samples, even though the lab's contract is with the employer, not the worker being tested. **What the Court Decided** The South Carolina Supreme Court ruled that drug testing laboratories do have a legal duty to exercise proper care toward the employees whose samples they test. This means workers can sue testing labs directly for negligence if the lab fails to properly conduct tests or accurately report results, even though they don't have a direct contract with the lab. **Why This Matters for Workers** This decision gives employees important protection against sloppy or inaccurate drug testing. If a testing lab makes mistakes that could cost you your job or damage your reputation, you may be able to hold the lab accountable through a negligence lawsuit. This creates an incentive for testing companies to maintain high standards since they can now be sued directly by affected workers, not just by the employers who hire them.