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Tuition reimbusement with no contract.

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MeMe44

Junior Member
What is the name of your state (only U.S. law)?
My company wanted me to go back to school and agreed verbally to pay the tuition. Their agreement with me was if I left the company voluntarily within two years I would owe them 50% of the tuition. Fair enough.
Well they paid me directly, as a bonus, for the full tuition amount: $XX. However, I had to pay taxes on this money as bonus. I started school. Shortly thereafter they wanted me to sign a contract based on our 'reimbursement' conversation but it read that I was to pay back 1/2 of the $XX if I left within two years. I never signed the agreement because I had to pay the taxes on the $XX amount. I questioned this and I requested a new contract drawn up reflecting this discrepancy. It never was and I never signed anything. Well, I left the company 1-1/2 years later. They are now demanding 1/2 of the full $XX amount. I would think it should be more like 1/2 the $XX minus the taxes I paid.
Do I owe them anything? Even if I legally don't owe them I don't want to stiff them. They tried to help me in good faith but I don't want to overpay them. Not to mention they did get most of their investment back; 1-1/2 years @ 70+ hours/week.
In anyone's opinion; what would be fair?
 


Antigone*

Senior Member
What is the name of your state (only U.S. law)?
My company wanted me to go back to school and agreed verbally to pay the tuition. Their agreement with me was if I left the company voluntarily within two years I would owe them 50% of the tuition. Fair enough.
Well they paid me directly, as a bonus, for the full tuition amount: $XX. However, I had to pay taxes on this money as bonus. I started school. Shortly thereafter they wanted me to sign a contract based on our 'reimbursement' conversation but it read that I was to pay back 1/2 of the $XX if I left within two years. I never signed the agreement because I had to pay the taxes on the $XX amount. I questioned this and I requested a new contract drawn up reflecting this discrepancy. It never was and I never signed anything. Well, I left the company 1-1/2 years later. They are now demanding 1/2 of the full $XX amount. I would think it should be more like 1/2 the $XX minus the taxes I paid.
Do I owe them anything? Even if I legally don't owe them I don't want to stiff them. They tried to help me in good faith but I don't want to overpay them. Not to mention they did get most of their investment back; 1-1/2 years @ 70+ hours/week.
In anyone's opinion; what would be fair?
Send them a letter stating that you are willing to pay them half of the amount you received, remind them that there is no written contract spelling out repayment. See what happens.
 

swalsh411

Senior Member
I hope they did't spend too much money on a student who can't even answer a simple question like WHAT IS THE NAME OF YOUR STATE?

Folks when it comes to employment law you need to know the State before you can provide a meaningful answer.
 

MeMe44

Junior Member
Antigone: Thank you for your reply. I was thinking of this very approach.
Your response was useful.

swalsh441: For your '411', I chose NOT to provide my state at this time. I know different states have different laws. I was looking for an educated opinion.
I took your comment to be offensive:
swalsh411 I hope they did't spend too much money on a student who can't even answer a simple question like WHAT IS THE NAME OF YOUR STATE?
Are you implying I'm an idiot?
Your response was NOT useful...oh, and you spelled 'didn't' wrong :D
 

Antigone*

Senior Member
Antigone: Thank you for your reply. I was thinking of this very approach.
Your response was useful.

swalsh441: For your '411', I chose NOT to provide my state at this time. I know different states have different laws. I was looking for an educated opinion.
I took your comment to be offensive: Are you implying I'm an idiot?
Your response was NOT useful...oh, and you spelled 'didn't' wrong :D
swalsh was not offensive. Sorry swalsh, I should not have answered his question. You are correct in more ways than one.:cool:
 

cbg

I'm a Northern Girl
My educated opinion (and for the record, of those who have responded in this thread I am the only one who works with employee benefits, including tuition assistance, full time) is that if you do not disclose your state you are in danger of getting incorrect information. Since different states have different laws, answering a question without knowing which state's laws are in play is in some respects worse than not answering it at all.
 

tranquility

Senior Member
Since we don't have a state and cannot provide employment law on the matter, I'll look at it under contract law.

My company wanted me to go back to school and agreed verbally to pay the tuition. Their agreement with me was if I left the company voluntarily within two years I would owe them 50% of the tuition. Fair enough
That sounds like what my Contracts professor described as a "contract".

Why would you think it isn't?

I'd take their offer of the 1/2. They don't have to accept that as your contract is for the full amount.
 

LeeHarveyBlotto

Senior Member
As a legal matter, what $XX amounts to likely doesn't matter. However as a practical matter it likely does. When you provide us your state as required by the forum rules, please also let us know how much money we're talking about.
 

MeMe44

Junior Member
Wow...
Antigone: Sorry...I didn't know my state was that important...and it looked like swalsh411 was being rude at the very least.
Anyway, the answer you gave me is very similar to one that someone else, in the legal profession, who already knows my state of residence (which is SC). My company is in a different state if that matters. Either way, thank you for your reply.

slwalsh411: If you had first explained to me how important it was to have the state information I wouldn't have thought your comment as offensive. I was only kidding about the 'didn't' comment. I realize sometimes people's fingers get away from them while typing.
BTW, they spent almost six figures on my education. Doesn't mean I'm smart.

everyone else: I've never posted here before. So please give me a break. If I knew the law I wouldn't be in this forum asking questions. My state is SC
(I admit I didn't read the forum rules thoroughly).

Regards
 

MeMe44

Junior Member
I went back and reviewed what I saw as the Forum Rules (under Registration). I didn't remember anything about a state requirement so I though I simply missed it while registering. But the rules while registering don't say anything about mentioning what state you are in. I've looked around this site and haven't found any other headings listed as Forum Rules. Can someone please send me a link if there are other important things to consider before posting here.
My apologies...
 

MeMe44

Junior Member
Ah. I see, at the top of the text box where you first type your post. Sorry I didn't view that as a rule or requirement of the forum. That's why I chose not to answer the question. This is certainly different than other forums I've been to. If it simply stated "What's your height (no MM inches only)?" I would not have answered that either :D In other words I didn't know it would be relevant.

Thank you swalsh411 for your reply.
 

ESteele

Member
Your former employer spent “almost six figures” on your education? Do you mean an amount just short of $100,000? In 1.5 to 2 years? Wow. OK. I am curious now. What did you study? Did you get a degree? If so, what type of degree?

With respect to your obligation to repay, your former employer can endeavor to contend you had an oral contract to repay the tuition assistance. However, in order to form an oral contract, the parties have to agree on the parameters of the terms. In this instance, the value of the tuition assistance remains in dispute. As a consequence, your former employer may have difficulty in advancing a breach of oral contract claim here. In addition, they may have a statute of frauds problem.

If you want to repay half of the after-tax value of the bonus provided by your former employer, this would appear eminently fair since the employer may not be able to successfully recover any of the money in court.
 

MeMe44

Junior Member
Why on EARTH do you think it asks the question if it's not RELEVENT and IMPORTANT???
Yikes!
Because many other forums ask stupid question that are not RELEVENT or IMPORTANT!!! Why shouldn't this be any different. Don't you go anywhere else? This wasn't information I was just initially willing to give out to a new forum! Man you live in a different world than I.
Now I know...the next time I'll give this info so you won't have a 'pissy-fit'.
Why not stick to the subject and just answer the initial question instead of just riding my ass?
I need to find a different forum where some people are so uptight. Thank you to those who did answer my question without a bunch of BS. I only wanted an general opinion. I got a couple of good answers and I'm satisfied with that.

Best of luck to you all. No need to reply.
 

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