Sign on Bonus - Employer Bankruptcy - New acquired Employer - Bonus return

[rk_grp]

GA - is the name of your state
IL - Employer state.

I was hired by Sears on April 2018 - with Sign on bonus as mentioned below.

You will receive a one-time sign-on bonus of $5,000 (Net). This sign-on bonus will be payable on the pay
period following thirty (30) days from your start date. In the event you voluntarily terminate your employment
with Sears or are terminated by Sears for misconduct or integrity issues within twenty four (24) months of your
start date, you will be required to repay the full amount of the payment paid to you, including any taxes
withheld, unless prohibited by law, to Sears within thirty (30) days of your last day worked.

On October 2018 - Sears filed bankruptcy protection. Part of Sears assets were acquired by new company.

New company TransformCo, referred to as "New Sears" is an American privately held company formed on February 11, 2019, to acquire some of the assets of Sears. The new company is owned by ESL Investments.
On April 2019, I was offered to come as employee to Transformco. I have offer letter in pdf it also contains some arbitration part it is about 6 pages document. I am attaching towards the bottom.

In November 2019, I have decided to leave Transformco and also thought that I am not obligated to pay back the sign on bonus. Now I received notice saying that I have to payback the sign on bonus. My agreement with Sears is still valid? Is Transformco legally allowed to make a claim and make me repay? - Please advice.

 

[PayrollHRGuy]

April 2018 to February 2019 is less than 24 months. Assuming they bought the assets of Sears sure they can make and likely when such a claim in court.

 

[LdiJ]

GA - is the name of your state
IL - Employer state.

I was hired by Sears on April 2018 - with Sign on bonus as mentioned below.

You will receive a one-time sign-on bonus of $5,000 (Net). This sign-on bonus will be payable on the pay
period following thirty (30) days from your start date. In the event you voluntarily terminate your employment
with Sears or are terminated by Sears for misconduct or integrity issues within twenty four (24) months of your
start date, you will be required to repay the full amount of the payment paid to you, including any taxes
withheld, unless prohibited by law, to Sears within thirty (30) days of your last day worked.

On October 2018 - Sears filed bankruptcy protection. Part of Sears assets were acquired by new company.

New company TransformCo, referred to as "New Sears" is an American privately held company formed on February 11, 2019, to acquire some of the assets of Sears. The new company is owned by ESL Investments.
On April 2019, I was offered to come as employee to Transformco. I have offer letter in pdf it also contains some arbitration part it is about 6 pages document. I am attaching towards the bottom.

In November 2019, I have decided to leave Transformco and also thought that I am not obligated to pay back the sign on bonus. Now I received notice saying that I have to payback the sign on bonus. My agreement with Sears is still valid? Is Transformco legally allowed to make a claim and make me repay? - Please advice.

You really need to run all of that paperwork by a local attorney. The situation is complicated and I don't think that anyone who cannot physically read all of the documentation you have could give you any decent response. Contract review is something that should be done by a local attorney. I think what it boils down to is how the new job with Transformco was offered to you.