Legal Question in Employment Law in California

I entered into an employment contract with an employer on 11/30/15 and it included a $40,000 signing bonus which is to be paid over the next 12 months. My employer's in house Legal representative (online Concord Law School grad) called me last week to let me know that they would be closing all division branches headed by the Senior VP who had just resigned and had moved to another company. This included my office. Shocked, I asked where did that leave me? He said,"well beginning today or tomorrow if you prefer, you will no longer be affiliated with our company." So just like that I am out of a job through no fault of my own. My contract expressly states that the employer was to pay me $40,000 in equal monthly distributions beginning on 11/30/15 and ending on 10/31/16. It provided that if I voluntarily quit during the first 12 months of employment I would need to repay all of the signing bonus including taxes. It did not state anything about them not being obligated to pay me in the event of my termination. Aren't I entitled to continue to receive the remaining balance of my hiring bonus?


Asked on 8/27/16, 1:22 pm

1 Answer from Attorneys

Charles Perry Law Offices of Charles R. Perry

The exact wording of your employment contract is important. No attorney worth his or her salt is going to venture an opinion on this subject without having read the contract.

The general rule, however, is that if you have done everything necessary to receive payment under the contract, then you are entitled to payment. A similar rule applies in the commissions context.

Employees who are not paid in full are often entitled to penalties and to attorney's fees in any claim to pursue the monies owed. I would check with an employee-side employment lawyer to see if they can assist you.

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Answered on 8/28/16, 1:02 am


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