I am a property tax consultant and I get paid commission for doing my work as well as 3 other employees. My boss owes me $5,000 in commission and will not pay me for my completed cases. He says the company has no money due to clients not paying invoices back from 2004. So in other words he is saying if the clients dont pay we don't get paid even though my services have been completed. My boss has two other companies that are making money and pays his wife who works for us ocassionaly $5,000 a month and has a nice house built in a rich neighborhood and home schools his four children who also take up karate. He drives a hummer, benz and two other vehicles. He has the money and still wont pay his employees. Can he do this? If we quit he says he doesnt have to pay us our commission so his staff is still there waiting to get paid with the holidays coming up. Someone please tell me how commission works and what legal actions to take. Thanks.
2007-11-12 10:24:43 · 5 answers · asked by TASHA T 1 in Politics & Government ➔ Law & Ethics
Normally when you work commission there is a contract in place that prescribes how commission is paid. A lot of places that pay commission pay commission on collected invoices, not due invoices.
2007-11-12 10:35:07 · answer #1 · answered by davidmi711 7 · 1⤊ 0⤋
If commission is owed and is part of you pay then yes it is owed. If it is a bonus and is not part of a salary then it is not.
I would get it in writing. Send a casual e-mail being very careful with your wording and explaining a financial need and explain that you show that there is currently 5000 in past due payments for you and get a response in writing. You will then have something to fall back on if his mind is changed later or you leave the company for whatever reason.
Now is your company a corp? or INC? If so and the company goes belly up then you can be a write off in a bankruptcy. It does not matter what your boss drives. His funds are not in play under a corporation. Only company funds, his are protected.
Could you hire a lawyer? Sure but he would have to take it on contingency because otherwise you would spend all the back pay just getting it.
Thanks and good luck..
Will
2007-11-12 10:33:14 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Its a double-edged sword you are dealing with here.
Sure you can complain and then immediately be out of a job, once he is forced to close up shop and go out of business.
Also, if your commission isn't in writing (or expressely spelled out in an employment contract), don't worry about complaining, nobody will help you.
If it is easy to find another job as a property tax consultant in a crappy housing market, then by all rights, complain to the local labor board.
2007-11-12 10:34:16 · answer #3 · answered by Anonymous · 0⤊ 0⤋
By law if you are on a "payroll", he has to pay you.But if this is an under the table job you have no proof unless you have a written contract with him,that he actually owes you the money.The comleted work will not hold up in court, its circumstantial. I think you need to demad the money. You can't just work for free and you have bills to pay too. Just cuz your boss has a nice car/house etc.,doesn't mean he has money. He could be with holding your money to pay his debts! Point it out to him that you have bills too and can't wait. And, even if you qut,if you are on a "payroll" or written contract then he has to pay you that back money he owes you even if you have to take him to court! He should be taking the clients to court to get the money for you guys.
2007-11-12 10:38:31 · answer #4 · answered by nickybickyboppers 3 · 0⤊ 0⤋
No he can not.
Take his butt to the state wage and hour board"labor commission"
report him to the IRS for tax evasion
As some noted, he may be forced out of business, however, better unemployed than busting your hump for no payment for services rendered..
Good luck
2007-11-12 10:35:21 · answer #5 · answered by Jan Luv 7 · 0⤊ 0⤋