Contracted Employee

[steve_f]

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

I'm a contracted employee (1099 in other words). I've only been on this new job a month and the employer, out of no where, is telling me they're going to let me go in January. I have all the data for the business in my possession. If I require a reasonable severance package in exchange for the return of a computer and data, am doing anything that's illegal?

 

[anearthw]

Er, yes. Very illegal, actually. Possibility of prison illegal. Do you need details or do you understand that withholding something that does not belong to you in exchange for unlawful financial demands is all sorts of bad mojo, at multiple levels of government.

 

[Ohiogal]

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

I'm a contracted employee (1099 in other words). I've only been on this new job a month and the employer, out of no where, is telling me they're going to let me go in January. I have all the data for the business in my possession. If I require a reasonable severance package in exchange for the return of a computer and data, am doing anything that's illegal?

Blackmail is illegal. So is extortion. You have no rights to a severance package. NONE. Return the data and forget about committing a felony.

 

[swalsh411]

Does your contract say anything about how much notice they must give you? And then penalties for not giving you notice? That is the only way you would be entitled to some sort of additional compensation.

I highly doubt it says you can keep the equipment under any circumstances. Do you enjoy the prospect of a theft charge on your record?

You can certainly ask for a severance but I wouldn't recommend committing a felony if you don't get your way.

P.S. You're not an employee.

P.P.S It sounds like it's just not working out. Time to move on. Don't make it worse by making childish threats.

 

[FlyingRon]

There's on such thing as a "contracted employee" either in this sense. If you are an employee, you should have had taxes withheld and a W-2. A contract doesn't make it legal to treat your employers as contractors.

You must return their property, but you are free to request a determination that you were indeed an employee (SS-8 with the IRS) and potentially get relief from paying the employer's share of the FICA.