Legal Question in Business Law in New York

Commision compensation

Ive been working for a commision only based company for a few months. I was offered a different job in my area of expertise. I have given my Two week notice have recorded all of my sales that will come through after i leave. My manager informed me that since i am resigning i will forfit all sales after my last date of employement even though the sales were made before I leave. Is this ethical? Should i start to contact the labor board for this matter or are these actions he is takeing legal?


Asked on 3/05/09, 12:43 am

1 Answer from Attorneys
Michael Markowitz Michael A. Markowitz, PC

Re: Commision compensation

No. It is not legal. If the agreement was that you worked on commission, you are entitled to that commission until the date employment is terminated.

Feel free to contact the labor board. You may also contact my office for a consult concerning private litigation. If your commission was based on sales, under NY Labor Law section 191-c,

"3. A principal who fails to comply with the provisions of this section concerning timely payment of all earned commissions shall be liable to the sales representative in a civil action for double damages. The prevailing party in any such action shall be entitled to an award of reasonable attorney's fees, court costs, and disbursements."

Mike.

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Answered on 3/05/09, 8:36 am


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