Legal Question in Employment Law in Florida
Contract discrepancy
In June, 2001, I signed a ''separation agreement'' with my employer. I made several concessions, releases, etc. My employer made only one, which was as follows (names have been changed):
In consideration for the releases and other commitments in this Agreement, ''Company X'' agrees:
a.) To pay ''me'', upon his execution of this agreement, a total sum of $28,000, an amount to which he is not otherwise entitled. This amount represents a ''grossed-up'' separation payment.
Though I did not realize until later, the deductions were not itemized on the check stub. When I went to do my taxes, I realized I owed $1,950 to the IRS. I thought this was strange considering I have never owed taxes.
I contacted the employer, and they provided me with a list of the deductions. When I received them, I realized the gross amount was way too low, as was the percentage of tax withheld. They withheld 11 percent for FICA. I contacted the IRS, explained the situation, and they concluded the employer ''grossly miscalculated'' the figures.
My question is, does this constitute a breach of contract?
1 Answer from Attorneys
Re: Contract discrepancy
It could be a breach of the Agreement. The bottom line is that if your objective is to get your former ER to pay the $$ you now owe, the plan I believe would be to threaten filing a suit for beach of the Agreement and demand they pay the taxes you now owe. Please feel free to contact me at (305) 810-2887 for further assistance.