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Direct Sales Company

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mustangapril

Junior Member
What is the name of your state (only U.S. law)? Washington (business is in Idaho)

Is it legal for a direct sales company to tell their Independent Consultant that the consultant will not be receiving their commission for x month? Is it legal to hold a commission indefinitely and to not pay out?

I tried searching on the internet but wasn't able to find anything with the key words I used.

thanks
 


Proserpina

Senior Member
It would depend on the terms of your contract with said company.


Indeed.

There is a rather well-known vacuum company who are notorious for (and I'm being terrifically polite here) " not paying earned commission" unless X, Y & Z conditions are met no matter how many hours are worked.

(And in my state, it's perfectly legal)

Edited: Oh. OP is in WA state - same as me. OP...this wouldn't be a certain vacuum cleaner company, would it?
 

mustangapril

Junior Member
no lol not a vacuum company = )

so basically there is no federal or state laws regarding commissions with direct sales? they can put whatever they want in your contract and you have to do it in order to earn commission? For example, if they said you have to eat 3 big macs, watch tv for 8 hours a day and watch 20 videos in 24 hrs before you earn commission you have to? lol
 

Proserpina

Senior Member
no lol not a vacuum company = )

so basically there is no federal or state laws regarding commissions with direct sales? they can put whatever they want in your contract and you have to do it in order to earn commission? For example, if they said you have to eat 3 big macs, watch tv for 8 hours a day and watch 20 videos in 24 hrs before you earn commission you have to? lol


One could reasonably assume that the contractor would have read the contract before agreeing to the terms...yes?
 

mustangapril

Junior Member
Yes, but just because something is in there may not deem it as legal especially when there are hundreds of pages of information.....just sayin'.
 

Proserpina

Senior Member
Yes, but just because something is in there may not deem it as legal especially when there are hundreds of pages of information.....just sayin'.

This is why we don't sign things before either reading and understanding, or handing the docs over to someone who can do both on our behalf.

(I'm not saying it's right, fair or even legal in your case because we can't read your contract - but the sad truth is that independent "consultants" are routinely and legally shafted. See my vacuum cleaner example noted above)
 

HomeGuru

Senior Member
Yes, but just because something is in there may not deem it as legal especially when there are hundreds of pages of information.....just sayin'.
**A: And I'm just saying even if there wwere thousans of pages of information, you should have read all pages and understood all pages. If not you should have used legal counsel.
 

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