Legal Question in Employment Law in Georgia
I have job with 100 percent commission compensation. We are paid only on gross margin of sales. Typically, I will make a sale, the equipment will be delivered about a week later, and the customer is given Net 30. Once the customer pays, I will get paid my commission on the next payday. I am looking to leave this job immediately, and I am wondering what I am legally entitled to considering that my boss has shown himself to be unethical.
I have recently made a few sales (purchase orders in hand), for which the customer will pay in about a month. From what I have read so far, I need to review my terms of employment and gather when commission is deemed to have been EARNED. However, the offer letter I signed makes no real mention of this. It essentially says:
Commissions are paid in accordance with (my company's) standard payroll practices. All commissions will be paid in the following month after (my company) has received full payment and payment has cleared. Commissions are paid on or about the 15th of the month.
As you can see, it only mentions when commissions are PAID. Furthermore, my research also shows that the company's precendent in such matters will become the default standard. However, it is a startup company, and no one has ever quit having made a sale.
If my boss refuses to pay commission on orders that have already been agreed upon (through written contract), shipped to the customer site, and made it into our Accounts Receivable, do I have any legal recourse?
1 Answer from Attorneys
Maybe, maybe not depending on a great deal of detail that you have omitted.