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Involuntary termination - no payment of commissions

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Proejo

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

I just was told that I was either going to be terminated (entire company is experiencing some money issues with the economy) or that I could go to straight commission, no salary. In addition, I have a half-million dollars of signed contracts and projects that are currently in production (the employer is a contractor of integrated data communications infrastructure for new commercial construction). Some of these contracts will be complete next month, some will be complete in May, the rest in July and the punch lists may take another two months before final payment is issued, so realistically, end of September. The commissions due me are between $38,000 - $40,000. The employer told me today that if I leave they won't pay me the commissions, but if I stay on as commission only, that these commissions would be paid when the jobs are collected. He said they never have paid commissions to someone when they leave the company. I would expect that may be a debatable position if an account manager left voluntarily, but I don't know what the law says about an involuntary termination.

Also, if I stay on as commission only, then do I give up my rights to leave and seek unemployment after I collect commissions, or can I later leave after collecting the commissions and say that I only stayed under duress because of the threat of lost earnings if I didn't take a commission only position?

I know I have six months to file against the employer with the state, but is this something that the state would assist me with or am I better served by using an attorney in a matter like this? Also, should I file a materials and labor lien on the projects before the employer finishes the projects to prevent him from being paid until the lien is satisfied, or does this likely just get me counter-sued?
 
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pattytx

Senior Member
I think you're better served by an attorney, as this is much more an issue of contract law than it is of wage and hour law. Plus, it's HUGE money; don't want to trust that to the TWC. :rolleyes:
 

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