My son in law (he or him from now on) gave his 2 week notice from Co. X & switched jobs all on good terms. Co. X owes him several thousand $ in commissions on his last paycheck. The owner of Co X recently sent him an email stating that they will pay him the owed $ now if he signs an agreement : The agreement is they pay him all they owe him in commissions now. But if the company doesn't get paid by all the vendors who owe the Co X the commissions, then Co X says he has to pay back all the $ + interest for any vendors who failed to pay. They also want this agreement to be for 60 days.
My son is law does not want to sign anything for various reasons including the fact that some vendors may not pay for more than 60 days and so on.
Is Co X obligated to pay him commissions he earned?
Should he sign any agreements?
What should he do?
Thanks for your help.
1 Answer from Attorneys
No he should NOT sign.
He should negotiate a FAIR & REASONABLE Termination Agreement that allocates risk /reward equitably
This is in my strike zone