Federal law forbids sexual harassment under Title VII of the Civil Right Act of 1964. Title VII covers employers who employ, or have employed, 15 or more employees for each working day in 20 or more calendar weeks in the current or preceding calendar year.
Sexual harassment is illegal under the California Fair Employment and Housing Act. Sexual harassment protections extend to applicants, employees, unpaid interns, professional relationships and independent contractors.
Sexual harassment law covers the actions of supervisors, coworkers, customers and vendors. Depending on the actions, or inaction, of you and your employees, you may be held liable.