Georgia Commission & Pay Disputes
Atlanta Employee Commission Disputes Attorney
Commissioned salespeople, manufacturer's reps, managers, executives and other employees often earn money that is payable to them at a later date. Many times, the company does not pay the full amount owed, or the employee is fired and the company refuses to pay any of the money that is owed. Other times, the employers takes the position that they will not pay the monies owed unless the terminated employee signs a severance agreement which includes a non-compete clause and/or a non-solicitation clause which affects the employee's right to work and compete. We have litigated cases involving these legal issues with small local companies and large multi-national companies alike. All of these tactics are unlawful under Georgia law. Often, the only recourse if you want to get paid is to sue the company for your money.
Under Georgia law, in the absence of an employment contract or specific law providing protection, the employer-employee relationship is considered "at-will" and can be terminated at any time and for any lawful reason by the employer or employee. Many employment relationships in Georgia are governed by the employee handbook, commission schedule or similar posted personnel policy. While these agreements are not labeled "Employment Contract," they are treated as such by Georgia courts in employment-related lawsuits. In addition to the enforcement of these agreements, many terminated employees can sue and collect damages under a "quantum meruit" theory of recovery. Regardless of the cause of action, an employee who is terminated in Georgia is entitled to all of the money that is owed such as earned commissions, accrued sick days, accrued vacation days, paid holidays and accrued retirement benefits.
A suit for breach of an employment contract is essentially a suit for wrongful discharge. The damages owed to the employee under Georgia law are all the damages sustained or the value of the services rendered to the employer. A wrongfully terminated employee may be able to recover lost wages, pre-judgment interest, lost profits, and any other damages that were reasonably contemplated by the parties at the time of the breach. One of the most common scenarios involves commissioned salespeople who have made sales which resulted in large commissions that are earned but not paid prior to termination. If the employee is terminated prior to the commission being paid, many times the employer tries to avoid paying the commission.
Nothing in the laws of Georgia restricts the rights of employees who have been unlawfully terminated due to illegal discrimination from seeking all relief allowed under the many Federal Laws designed to protect workers. Title VII of the Civil Rights Act of 1964, prohibits discrimination by covered employers on the basis of race, color, religion, sex or national origin. Title VII also prohibits discrimination against an individual because of his or her association with another individual of a particular race, color, religion, sex, or national origin. An employer cannot discriminate against a person because of his interracial association with another.
Commissions to employees must be paid pursuant to Georgia law on commissions, whether or not the employee is still working for the company. If not, the employee has the right to file suit and sue for the commissions owed, exemplary damages in the amount of twice the commissions owed, plus attorneys' fees for having to get the monies that they are clearly owed. O.C.G.A. 10-1-702 provides in pertinent part:
- When a contract between a principal and a sales representative is terminated, the principal shall within 30 days after the termination of the contract pay all commission due to the sales representative.
- A principal who fails to make timely payments of commissions as required [] shall be liable to the sales representative in a civil action for:
- All amounts due to the sales representative according to the terms of the contract;
- Exemplary damages in an amount not to exceed double the amount not timely paid as required by [this code]; and
- Reasonable attorneys' fees actually and reasonably incurred by the sales representative in the action.
Robert J. Fleming is an experienced Atlanta business trial lawyer. In addition to a law degree, Mr. Fleming has earned an MBA in finance, has acted as general counsel to a number of businesses, and has a successful business background. This unique set of experiences and skills allows Mr. Fleming to help workers in this situation by enforcing the agreements for payment.
If you have been terminated and not fully paid what you are owed and would like to discuss your case, please call Robert J. Fleming at (404) 525-5150 or contact us online. We are here to help.
Atlanta Lawyers Blog
- Dentist Who Used Paper Clips in Treatment to be Sentenced I've been litigating malpractice cases for almost 20 years, and I have to say that it doesn't get much worse than this: using a stainless steel ....
- Vaginal Sling Complications Can Be Severe For many women, physical exertion, such as coughing, exercise, heavy lifting, or sneezing can cause an accidental leakage of urine. Stress Urinary ....
- Hulk Hogan Needs Surgery to Remove Effects of Dental Negligence Being a pro wrestler doesn’t help you deal with the mess that is left behind after a dentist has been negligent. Hulk Hogan found this out the hard ....
Atlanta Injury Lawyers Blog - Commission and Pay Disputes
- Sample of Georgia Complaint for Injunctive Relief The following is a reproduction of an actual pleading filed in a business dispute lawsuit to enjoin the other party from continuing its unlawful acts. ....
- Confidential Settlement in Georgia Commissions Dispute The Fleming Law Firm has recently obtained a confidential settlement in a Georgia commissions dispute case. The Firm represented a commissioned ....
- Georgia Restrictive Covenants to be Voted On in November 2010 In April 2009, the Georgia Legislature passed a new law that will allow courts to more easily enforce agreements between employers and employees such ....
