Legal Question in Employment Law in California
Commission Pay after termination
When a salesperson is terminated, what commissions are due that employee? Our company sells consumable products that customers continue to purchase on a monthly basis. Our salespeople are paid base salary and commission. The commission structure for new accounts is 50% of the gross profit for the first four full months of use and 5% of the gross profit as long the customer continues to purchase. After initial customer acquisition the account is serviced by customer service representatives with little/no salesperson interactions. We are based in California. Are commissions due on future sales after termination?
1 Answer from Attorneys
Re: Commission Pay after termination
Unfortunately, this is one of those "it depends" answers. The best thing to do is to have an attorney review your employment contracts and termination/separation agreements. If you would like me to assist you in this matter, please feel free to contact me.
Yours truly,
Bryan
619.400.4929
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