Legal Question in Employment Law in California
Is a verbal agreement concerning sales commission legally binding?
My daughter works for a large furniture store in California. When she hired in at this furniture store she was verbally told that she would
receive a salary plus a commission on her sales. Her commission is 10% on furniture and 5% on accessories. About a month ago she had a customer that purchased over ''$12 million dollars'' in furniture and accessories for a detention facility. Of course, she had to attain her boss, part owner of the store, to help her with this sale. The sale will be finalized only after the furniture has been delivered and paid for. This week she ask her boss if he could give her a figure on what her commission would be when everything is complete. He told her that she would not get a commission, that she would receive a finders fee, since he had done most of the work. She ask him what he meant by that.
She needs to know if she has any recourse. Is the verbal agreement legally binding? She understands that they may not can pay her the full commission but it should be a percentage and not just a figure off the top of the boss's head. Please advise. Thank You!
2 Answers from Attorneys
Re: Is a verbal agreement concerning sales commission legally binding?
With this amount of money at issue (over $ 1M in commissions), your daughter would be well served by obtaining representation immediately. Of course a verbal agreeement is enforcible. What was the course of performance in her employment, was she paid the stated commisions on past sales? Please call me directly at (619) 222-3504.
Re: Is a verbal agreement concerning sales commission legally binding?
A verbal promise can be enforced. If commissions have been paid on other sales, the records will establish the rate at which commissions are paid. Your daughter should consult with an attorney in her area. I am in Los Angeles at 800 386 3860.
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