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Quick question about commission in California

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  • Quick question about commission in California

    I worked for a company that sold another company's services. I was an independent contractor technically (maybe not properly classified, I don't know) but I earned a lot of commission and was never paid. I have all the paperwork to prove the sales plus the installations were successful and can be looked up by the job number.

    I was told by my employer that the company we sold services for would not pay out any commission older than 30 days. So I had 30 days to call them and figure out why I never got my money, and it took longer than that just to get ahold of them and have them look up the paperwork.

    I never got my money. Is that legal for a major company to not pay their employees commission if it's older than 30 days?

    This was the only sales/commission job I have ever had so I don't know if it's treated the same as wages...

  • #2
    Independant contractors (IC) are not employees, so this is a very key point to get resolved. IC are vendors solely subject to contract law. IC do not have employers, they have customers. They are not subject to labor law, and whatever labor law says about commissions and employees. An IC's sole legal recourse is through the courts using a contract law remedy.

    If you want to claim that you are really an employee and should be subject to labor law, then you could try making such a claim through CA-DLSE (or through the courts). The CA labor law rules effecting employees only (not IC) can be found in the CA-DLSE manual.
    http://www.dir.ca.gov/dlse/Manual-Instructions.htm
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)

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    • #3
      If you used their equipment and they set your schedule (directed and controlled you) and or you went to their offices to work among other things, these factors will likely make you an employee and not an IC. As far as them stating you have 30 days to prove or claim your commission, I think they are in fantasy land. If you earned the commission, they must pay you, if they dont they could be subject to waiting penalties if you are no longer employed there, interest, and attorney fees should you hire an attorney and the attorney prevails on your wage claim.
      Walter

      www.Californialaborlaw.info
      "California Wage and Hour Class Action Attorneys"

      Disclaimer: The above correspondence does not constitute legal advice nor establish an attorney-client relationship. You should seek the advice of independent legal counsel before relying upon, acting upon or not acting upon any information contained in this correspondence.

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