Legal Question in Business Law in California

company refusal to reinburse for company expense

As an employee of my company I signed a contract on behalf of the company for two ads in a magazine. The company refused to provide me with a purchasing card and I had to put the charge on my personal credit card. The company reinbursed me for the initial 6000.00 for the first ad but the second ad charge (another 6k) came through one week after the company laid me off (I was not fired it was part of general layoffs). Now I am working with the credit card company to fight the charge because the magazine won't credit my card and my old company isn't taking any steps to reinburse me or help me take care of the charge. We are being charged finance charges each month. Can I take the company to small claims court to get this taken care of?


Asked on 3/06/08, 8:10 pm

1 Answer from Attorneys

Edward Hoffman Law Offices of Edward A. Hoffman

Re: company refusal to reinburse for company expense

Yes. Whether you should win will depend upon additional facts; that you spent money on the company's behalf does not mean it was obligated to reimburse you.

Your case does seem pretty strong based upon the limited facts you have provided. Even if the company could have disavowed your actions, the fact that it reimbursed you for the first payment would qualify a ratification of the deal you made -- assuming that the company knew what the deal was at the time.

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Answered on 3/06/08, 8:25 pm


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