Legal Question in Business Law in California

I am an independent sales representative, who gets paid on shipments to clients. The manufacture approves the credit before they ship. Now, after 3 years, one of the accounts has not paid their bill, and the manufacture is wanting to chargeback my commission paid. Is this correct in doing so?


Asked on 8/23/11, 4:20 pm

2 Answers from Attorneys
Terry A. Nelson Nelson & Lawless

The written company policy on the subject will determine your rights. If silent, you can argue it. If it is enough money to justify a fight, you can sue or file a claim with the Labor Commissioner. Either way, if you are serious about getting legal help, feel free to contact me.

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Answered on 8/23/11, 4:40 pm
Kevin B. Murphy Franchise Foundations, APC

As a Franchise Attorney I agree with the other attorney answer, but add the following. It seems your company is trying to penalize you for their error is approving credit - which is not your responsibility. From what you say, they approve credit then ship is there's a positive determination. It should be a very easy case for the Labor Commissioner to decide, and you can file a complaint on your own. Consult with a good business or franchise attorney in your area for specific advice.

Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.

Franchise Foundations, a Professional Corporation

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Answered on 8/24/11, 7:21 am


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