being sued for repayment of commissions

[ctisystems]

I was an independent agent for a long distance company in 1997. On Nov.19,1997 they filed Chapter 11. I received notification on 7/31/00 that I am being sued for the commissions paid me for 90 days prior to the filing. Questions are:]
1) What is the statute of limitations for their filing to recover.
2) I cannot pay this money back ($7,600,or hire an attorney, what are the consequences if I ignore this.
3) They sent this through the mail to the wrong address. There was no signature required. Can I claim that I did not receive anything?

 

[BBMAN]

I'm sure 3 years qualifies with statues of limitiations, but if you were an employee - there are specific labor laws within each state. I had some luck with iwon.com and typed "texas state labor" for my state Texas. I got to the list of all labor laws. Too bad I'm an indie contractor because labor laws do not apply to me.

Now I would think that if you earned the $ on a commission, regardless if that client paid the corporate office, you should be able to keep it. It seems that would be a biz expense listed under bonus or commission. I find it odd that after 3 years they want it back. But who is it that wants it back? The original owners after the company went down the drain? Is that in your contract?

 

[peter]

This is going to require a little detective work....

Were you on a draw? paid ahead of recieving commissions? Then it has to be paid back as long as the company is still in bankruptcy court.... Or was the $7600 actually earned by you and the company owe each other Nothing?

That is the question........

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by ctisystems:
I was an independent agent for a long distance company in 1997. On Nov.19,1997 they filed Chapter 11. I received notification on 7/31/00 that I am being sued for the commissions paid me for 90 days prior to the filing. Questions are:]
1) What is the statute of limitations for their filing to recover.
2) I cannot pay this money back ($7,600,or hire an attorney, what are the consequences if I ignore this.
3) They sent this through the mail to the wrong address. There was no signature required. Can I claim that I did not receive anything?<HR></BLOCKQUOTE>

 

[ctisystems]

Let me clarify this further. My company had a contract with the long distance carrier. They paid my company (me)a commission on the money collected from the accounts I brought to them. When they were paid, I was paid. Why should I have to pay the money back?

 

[peter]

I think you answered the question.....you were paid after and not before the company was paid...

I think they should prove to you that you owe them the money...i bet they cant!



..........

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by ctisystems:
Let me clarify this further. My company had a contract with the long distance carrier. They paid my company (me)a commission on the money collected from the accounts I brought to them. When they were paid, I was paid. Why should I have to pay the money back?<HR></BLOCKQUOTE>

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by ctisystems:
Let me clarify this further. My company had a contract with the long distance carrier. They paid my company (me)a commission on the money collected from the accounts I brought to them. When they were paid, I was paid. Why should I have to pay the money back?<HR></BLOCKQUOTE>

You don't, as the money paid to you was for earned commissions paid to you under your independent contractor agreement.