Employee to pay deductible

[Msoverworked]

What is the name of your state (only U.S. law)? MI

Is it legal to require an employee to pay the deductible for damaging one of our vehicles? The accident was not caused by any faulty business equipment, the employee crashed the busniess truck. Do I have the right to make him pay the deductible portion of the repair?

[ecmst12]

It IS legal to make him pay. It is NOT legal to deduct it from his pay without express written consent.

[OP85063]

Originally Posted by Msoverworked

What is the name of your state (only U.S. law)? MI

Is it legal to require an employee to pay the deductible for damaging one of our vehicles? The accident was not caused by any faulty business equipment, the employee crashed the busniess truck. Do I have the right to make him pay the deductible portion of the repair?

If he's an employee of yours, and you authorized him to drive the truck, I don't think he can be help liable under normal circumstance of operating the truck. Accident does happen.

Did he intentionally crash the truck?

[xylene]

Originally Posted by OP85063

Did he intentionally crash the truck?

Did he intentionally or negligently crash the truck?

[ecmst12]

Sounds like he was negligent, so he should pay the deductible. He shouldn't have to pay the full cost to repair because the truck is insured.

[las365]

Originally Posted by ecmst12

It IS legal to make him pay. It is NOT legal to deduct it from his pay without express written consent.

Exactly. If the employee won't pay voluntarily, you can sue him in small claims court to recover the deductible (and probably your costs of court).

If you deduct money from his pay without his consent, you can create a costly mess of trouble for your company.

You can legally fire him whether he agrees to pay the deductibel or not. My opinion is that negligently wrecking a company vehicle would probably be misconduct that would keep him from getting unemployment benefits, but that is just an opinion and not fact.