Legal Question in Business Law in Arizona

I signed a relocation agreement with my organization in June of 2011 for two years. I accepted a position as a manager and relocated. Here is how the agreement reads:

1. If I voluntarily terminate my employment, or I am terminated for cause, on or before the expiration of 24 months from the effective date (as entered in my Human Resources payroll records) of my new position, I agree to repay X Company all relocation expenses advanced or paid on my behalf to others based on the following schedule.

However, I accepted another opportunity internally in September of 2011 for an Assistant Vice President which I believe would null and void this agreement since that agreement was for one job and not the one I am currently in.

How would a court deem this? I am considering going to another organization and want to see how this would be enforced?

Asked on 6/26/12, 4:22 pm

1 Answer from Attorneys

Joyce Johnson-Stovall Johnson Stovall and Associates PLLC
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if you are not voluntarily terminating your employment within a 24 month period and are with the same company, it doesn't matter what position you occupy based on the limited information you have provided. We of course would have to review the entire agreement to give you legal advice. If you leave the company before the expiration of 24 months, , then the company will sue you for relocation expenses... and companiess do that all the time and win. it happens to air line pilots who have paid training and quit, they get sued for the training... and it happens to most pharmacists... and they get sued for their signing bonus. If you accepted a relocation paid by the employer, you should stay for 24 months or plan to get sued..

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6/26/12, 6:36 pm

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