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Firing after 5 weeks with a 6 month contract

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mdsalesguy

Junior Member
What is the name of your state? MD

I was hired in March 2005 in the state of Maryland. as a sales representative. I was working for a little over a month. The employment letter or contract states that" 'company name' will guarantee you $5,000 per month of compensation for a period of six months............At the end of the six month draw guarantee, you will have to earn enough commission to cover your draw. We will review your progress at 30, 90, and 180 days."

I had a review at 30 days that went well. The following day late in the afternoon. I was told "we do not like the lack of speed with your progress and are going to have to let you go".

My question is that the term "at will" was not used in the letter at all. I was not given a reason for termination and "reasonable" period of time to improve whatever problems they had.

I turned down other job offers to accept this one because of the sixth month period of time to learn all about the new job and get up to speed.

What are my rights? I believe that if they do not continue to pay me then it is breach of contract.
 


cbg

I'm a Northern Girl
Well, first you need to determine whether or not you are holding an offer letter or a contract. If it's an offer letter, they likely do not owe you a thing beyond any wages due up to and including your last day of work. An offer letter seldom reaches the level of a contract.

If it actually is a contract, you will need to show the ENTIRE document to a local attorney. We cannot interprete a contract we have not read in full.

It is not necessary for the offer letter to spell out that employment is at will. Unless you have a bona fide contract that says otherwise, in every state except Montana (and in these circumstances, almost certainly INCLUDING Montana) employment is automatically at will UNLESS a binding contract specifies otherwise. Additionally, again unless a bona fide contract says otherwise, they have no legal obligation to give you prior warning of problems and time (either reasonable or unreasonable) to improve.

So unless you can show (1) that you are holding a contract and (2) that it not only guarantees that draw while you are employed, but continues to be guaranteed even after termination, you're out of luck.
 

JETX

Senior Member
mdsalesguy said:
I was hired in March 2005 in the state of Maryland. as a sales representative. I was working for a little over a month. The employment letter or contract states that" 'company name' will guarantee you $5,000 per month of compensation for a period of six months............At the end of the six month draw guarantee, you will have to earn enough commission to cover your draw. We will review your progress at 30, 90, and 180 days."

What are my rights? I believe that if they do not continue to pay me then it is breach of contract.
I disagree with your 'belief'.
What you have described is a fairly typical 'draw guarantee' which is merely explaining the terms of your compensation during your employment. It is not a contract, nor is it an obligation to employ. Simply, if you had 'worked out', your compensation would have allowed you to draw for six months, at which point the DRAW would end and you would be expected to be a full commission employee.
 

mdsalesguy

Junior Member
it is an offer letter

It is an offer letter. I accepted the job offere after reviewing the letter (which does not appear to be a contract?). I assume it is probably not worth the effort and expense to pursue it?

They are not obligated to pay beyond my last day?
 

BelizeBreeze

Senior Member
mdsalesguy said:
It is an offer letter. I accepted the job offere after reviewing the letter (which does not appear to be a contract?). I assume it is probably not worth the effort and expense to pursue it?
You assume correctly.
mdsalesguy said:
They are not obligated to pay beyond my last day?
Nope.
 

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