Legal Question in Employment Law in California

Payment of Sales Commissions after leaving a company

Can you please advise of any decision in the state of California or legal requirements to pay a sales rep on sales that are invoiced after you leave the company. I resign from a company and a po was issued for a service contract after I resigned. The delay of issuing the contract was due to the customer. At the time of resigning it was agreed I would be paid on the sale. I have documentation of my follow up with the company regarding the status of the company. At no point in time did they advise I would not be paid. The customer will agree that the sale was a result of my efforts. The company is only billing the service contract, support is by a 3rd party who will also agree the sale was a result of my efforts.


Asked on 11/18/99, 6:33 pm

2 Answers from Attorneys
Stuart Kaye Law Offices of Stuart M. Kaye

Re: Payment of Sales Commissions after leaving a company

If you procured the sale, you may be able to recover the promised commission. There are a number of factors to be considered that are beyond the scope of your question and the ability to respond here.

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Answered on 11/18/99, 10:26 pm
Ken Koury Kenneth P. Koury, Esq.

Re: Payment of Sales Commissions after leaving a company

I represent a lot of manufacturers and sales reps. there are no labor laws covering this issue. it is strictly a matter of contract. for the protection of both sides the Rep. agreement must be carefully drafted to clearly state how commission is calculated in the event of a termination. you need to have someone look at your Rep. agreement.

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Answered on 11/18/99, 11:02 pm


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