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Termination "Final Offer"- Take it or Leave it

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choices20042005

Junior Member
What is the name of your state? Colorado

1. I signed an Independent Contractor Agreement, Non-Disclosure and Non-Compete 4 years ago to provide services for a Colorado Company.

2. Last week I was sent by Fax a "Termination and Resignation" agreement. I was being offered payment for December, and 2 additional months if I would agree to this new agreement in 72 hours. If I did not agree, I would only be paid up to date of the Termination.

3. The new Agreement changes the terms of the original Agreement. It further defines items, extends the non-compete from 6 Months to 2 Years, further releases any possible ownership or author rights to computer programming, creation of systems, etc.and requests that I also release them from from about a dozen laws i.e. ADA,Civil Rights, Equal Pay,Fair Labor, etc. AND also any sexual harrasement and/or wrongful discharge or termination.

4. I have had an intimate relationship with the President of this company for the last two years and was engaged to marry next month. Three weeks ago the President of this company, from which I had an Indpendent Contractor Agreement with decided to call off the Wedding and no longer wishing to have any future personal relationship, and now future business relationship.

5. Days after calling off the wedding I received an email asking "Can you seperate personal from business.. I can." I replied yes and carried on with business.

6. The President of this company refuses to have any personal, phone, or email contact to discuss the personal or business relationship and now is terminating the business relationship. I'm only to receive the two months severance IF I agree to this "new" agreement with the "new" terms. The original Agreement did not define any severance or notice. But in two seperation depositions for divorce issues, the President of this company and the ex-spouse who is a Partner in the business both stated that if the business relationship were to end, 60 days of compensation would be given.

7. We each left our marriages about two years ago. We went on many personal and business functions together over the last 4 years. At the time I left my marriage, the President of the company requested that I turn over my employees of my company and have them and no longer work directly or be paid directly by me. About 6 months ago I was told that the compensation I had been receiving would change the following month and that I would be earning about 30% less. During the term of this agreement I exclusively worked for this one company. I was provided equipment, an office to work at if I wished, reimbursed for most all of my costs. And worked extensively while traveling all over the world with the President of this company.

8. I have no money at this time and my divorce lawyer can not assist me until next week and then to first discuss the "costs" involved in looking at this, etc. I have not signed anything but have expressed areas that I would not agree to in the Seperation Agreement. Two "72 Hour" deadlines have passed and the "Final Offer" on a third revised agreement is now tomorrow at 5PM - take it or leave it. I very much need the money. But I'm also concerned that I might be giving away too many rights.

My questions are:

1. I do not believe there was any valid cause for termination, although the original contract stated "at will" employment, is there any possible wrongful discharge or termination from the issues surrounding the end of the personal relationship.

2. If the arrangement was originally that of an Independent Contractor, but after giving up all my employees, taking less compensation, etc. can it be viewed that with the emotional and intimate involvement it has now become more of an Employement situation, etc. Can it also now be looked as Sexual Harrasement in regards to ending of a business relationship because of the end of a personal relationship - the calling off of an engagement and not wanting any further contact by the President of the Company/Employer?

3. If I do not take the "Final Offer" will it be unlikely that I will be able to get any severance, even though they verbally stated 60 days in Depositions from my Divorce?

4. In the last year I have not "invoiced" the Company for my services, I was just paid each month. Previously I had always "invoiced" them each month. If I do not sign the new Agreement, I really don't believe I will be immediately paid. If I do not get payment for December, what are my options? Should I just invoice them and if they don't pay in X time, then what? Are they required to pay me in a certain time considering this may be considered an Independent Contractor vs. Employee?

Thank you!
 


1. It is not wrongful termination unless it is based on a protected class (you were fired becasue of your race, gender, religion, etc.), or because you exercised one of your rights (filed a Wc claim, reported the comapny to OSHA, took FMLA, etc.). I don't see anythign wrongful here.

2. I cannot comment on whether this is an employer/employee relationship now. You can check the definition on the DOL website. Much depends on who controlled your work, who set your hours, were you allowed to seek and serve other clients, etc. You are going to have a difficult time, I'm sure because you are going to have to convince everyone involved that your status is NOT that of an IC, especially since you indicate you signed a contract with them as an IC. It is going to be difficult to prove your self otherwise.

As for sexual harassment, I would say this would not qualify. First of all, you were in a consensual relationship with the President of the company. After you broke up, it does not appear that he has been demanding sexual favors from you, pestering you for dates, stalking you, etc. In fact, you claim to have an e-mail where he agrees to keep the personal and business relationships separate. It appears he has done that.

3. They are altering the terms of the contract to include certain things you must do in order to get your severance. No matter what they said at any other time, this is the most recent offer and I believe the only one that will be binding. But, honestly, I don't know the answer for sure, as I am not well-versed in contract law, and even if I were, I do not have your specific contract in front of me. It would make sense to me, however, that testimony provided during a deposition does not constitute a contract.

4. If you are an "employee" they have a certain time frame in which to pay you. Your state's laws will govern when you have to receive your final pay, but it is usually by the next regularly scheduled payday - which you don't really have, do you? You see the dilemma here, I'm sure. If they don't pay you and you are an "employee" you can file a claim with the state DOL, but as I stated above proving you are an "employee" may be more difficult than you think. If you are an independent contractor, your recourse will be through small claims court, if the amount is small enough, or through civil court for a larger amount.
 

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