Legal Question in Employment Law in California

Re: Repayment of commissions after resignation in a sales position

Unless you signed or had prior notice of the written plan, the company may be stuck with what was told you orally.

Re: Repayment of commissions after resignation in a sales position

This response assumes you work in California for a California employer. Generally, if litigated, a court will require the parties to a valid contract to do or not do the things stated in the contract. This general rule may be overcome under certain special circumstances. One such special circumstance involves interpretation of ambiguous terms set forth in a contract that was prepared by the party who was in the strongest bargaining position (e.g., in your case, the employer). If the contract was vague, ambiguous, or subject to multiple meanings, generally a court will interpret the contract against the party who prepared it. In your case, this principle may not be applicable since you indicate the contract was clear regarding your duty to repay commission advances. Under this scenario it is more likely than not the contractual repayment provision would be enforceable. However, you should seek the advice of legal counsel it you feel the writing is suspect. As a general rule, you should not sign a writing unless you have read the entire writing, and understand fully your rights, benefits and duties.