Legal Question in Employment Law in California

Commission Charge Backs after quitting

While still employed I was advised they were going to change my commission structure moving forward. They did not and then came to me saying that I had been paid on shipped invoices as opposed to paid invoices and that I now needed to repay them. In the meeting, I said I would have to look over all the numbers, but certainly would not agree to anything at that point. It was a complete shock to me. It was a rather heated discussion and was not brought up again. I did not work under a ''contract'' as they would never sign one. I decided to leave the job and now they are not paying me saying I owe them this money and I need to pay it back. They are calculating from 2004 thru 2005 even though I have worked for the company almost 5 years and have always been paid on shipped product, not invoiced. What is my recourse. This almost seems abusive at this point and extremely upsetting.

Thanks!!


Asked on 1/27/06, 5:05 pm

3 Answers from Attorneys

Terry A. Nelson Nelson & Lawless

Re: Commission Charge Backs after quitting

Your recourse -- a claim through the Labor Commissioner for unpaid compensation, OR, if enough money is at issue, a lawsuit to be quicker. You can fire an attorney to represent you at the Labor Commissioner, and should do so. Contact me if interested in doing this right.

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Answered on 2/08/06, 3:28 pm
Patrick Turner Patrick E. Turner Inc. APLC

Re: Commission Charge Backs after quitting

Your question is fairly complicated and would require an evaluation of not only the documents, but also any evidence which may establish what your commission program should of been based upon prior practices. Generally speaking, however, commission charge backs are illegal in California. You should make an appointment with an employee rights attorney in your local geographic area as soon as possible to have your case of evaluated.

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Answered on 2/07/06, 6:20 pm
Alice Q. Robertson The Cartwright Law Group, APLC

Re: Commission Charge Backs after quitting

It is extremely unlikely that you are required to pay them back. If you did not receive your last paycheck within 72 hours of termination, and you have not received commissions owed to you, you may have a claim for wages, penalties and attorneys fees. If the amount you are owed is under $5K it is probably not worth paying an attorney to pursue it. I would recommend that you contact the Labor Commissioner's office or an attorney in your local area to learn more about your options. (The phone number for the Labor Commissioner can be found in the State Government section of your local phone book.) If you would like to discuss this further with us, you may contact our office for a free phone consultation. Thanks and good luck!

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Answered on 2/07/06, 9:04 pm


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