The concept of an employment contract seems simple enough: “You work for me and I pay you for that work.”
But there are some very important contractual nuances to the relationship between employers and employees that human resources professionals should be aware of and prepared to deal with.
First, not all contracts are written...
If you use employment or independent contractor agreements, this article will help you (1) ask the right questions of people in your organization to avoid disputes and (2) put together clear agreements for employees and independent contractors.
Compensation
One of the most important issues to get right is the compensation that will be paid to...
When it comes to how you draft your commission agreements in California, you can’t afford to take any chances -- especially since a new law, A.B. 1396, affects employers’ drafting obligations in a major way.
Commissions can be a great way to boost your sales staff’s entrepreneurial spirit because a commission-based...
For the first time in a while, there are signs of life in the world of sales compensation.
Over the past few years, the depressed economy had executives in a survival mentality. Compensation programs -- not just for sales people but for all employees -- weren’t something managers had the time or resources to study and improve, but were...
In the following case, the employee earned a salary and commissions. Before his termination, he had initiated negotiations with a customer for a lucrative deal for his employer. After his termination, the deal closed, but he didn't receive any commissions. The trial court ruled that he wasn't entitled to commissions because he didn...
When parties sign a contract, they generally are bound by its terms, with limited exceptions. The U.S. Court of Appeals for the First Circuit (which covers Massachusetts) recently rejected an employee's attempt to expand those exceptions in the context of employment agreements. Let's take a look at the case.
'No fair...
The South Carolina Court of Appeals recently awarded punitive damages, attorneys' fees, and costs against an employer that withheld a former employee's incentive payment. Read on to learn more about what can be dangerous ground for employers.
Facts
Richard Ross began work as a senior oncology specialist for...
In a recent case, the Alaska Supreme Court ruled that an employer technically hadn't breached its contract with an employee, but he nevertheless could pursue claims based on the employer's allegedly broken promises.
Facts
Troy Jarvis was hired as a sales manager for Fairbanks Nissan in 1997. His employment...
Any review of the Massachusetts Employment Law Letter over the past few years would reveal that claims by an employee for unpaid commissions under Massachusetts' Weekly Payment of Wages Act (M.G.L. ch. 149, § 148) (WPWA) have become very popular. The potential for triple damages would have to be at the top of the list of...
The number of nonpayment-of-wages claims seems to be on the rise. The popularity of those claims may be attributable to the wage-payment statute's provision for tripling the amount of damages payable to successful employees. We lawyers call that "treble damages." The statutory language is somewhat unclear on whether treble damages...
