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Is your employer withholding your commissions?

| Mar 16, 2017 | Employment Disputes |

Many times, sales people miss out on commissions because their employers unfairly withhold them. This can be because of jealousy, discrimination, or any number of reasons. Here in Michigan, however, you have rights to recover the money that you have earned.

Understanding The Sales Representative Commission Act

The Michigan SRCA protects sales representatives across the state who are denied commissions that they are owed by their employer. Essentially, if you sell for commission on behalf of a principal that manufactures, produces, imports, sells, or distributes any product in Michigan, you are covered.

According to the law, your employer must pay you the commissions you deserve according to the terms of your employment agreement. If your agreement does not state a specific payment schedule, then the past practices will be used as the baseline. If this does not exist, then the industry standard may apply.

Additionally, if you are terminated, your employer must pay all commissions you are owed within 45 days. If any commissions come due after your termination, your employer then has 45 days to pay them.

Failure to comply could entitle you to the commissions, plus double that amount up to $100,000. You could also recover attorney fees and court costs for taking action against your employer.

Talk To An Attorney About Your Rights

If you think you deserve commissions that your employer is not paying you, talk to an employment law attorney. Even if you are terminated, your employer may still owe you the commissions you earned during yo ur employment. Your lawyer will examine your employment agreement and track down the money that you deserve.

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