Legal Question in Employment Law in California

My spouse signed an employment offer stating the company (located in CA) would provide a monetary loan for moving expenses. If he resigned before two years the loan would require immediate repayment. No dollar amount was listed in this agreement. We personally only received $1500 while additional monies totaling nearly $5200 were paid directly by the company to realty companies for terminating our lease in one state and for housing in our new state (CA). A year later he resigned to accept a job offer in another state. On his last day of employment his manager made him sign an unsecured note for the full amount of all monies they paid out due within a week. As the unsecured note states "for value received..." are we legally liable for the entire amount or can we only be held liable for the monies we personally received, $1500? We felt morally obligated to pay the amounts and made an initial payment of $2000 within a month. However, his former manager is now threatening to take further action if we do not pay the remaining amount in full.


Asked on 9/04/14, 8:34 pm

1 Answer from Attorneys
Terry A. Nelson Nelson & Lawless

Whatever they paid out, you will have to repay because of his breach of agreement. He also signed an enforceable contract [the note] for the full amount. No mystery here. Work out the best deal and payments you can to avoid being sued. Keep making substantial good faith payments no matter what they say, it will likely keep them from suing.

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Answered on 9/05/14, 10:11 am


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