How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Tina Your Own Question
Tina, Attorney
Category: California Employment Law
Satisfied Customers: 33166
Experience:  JD, 17 years experience & recognized by ABA for excellence in employment law.
Type Your California Employment Law Question Here...
Tina is online now
A new question is answered every 9 seconds

I have an ongoing dispute with an agency through which I was

This answer was rated:

I have an ongoing dispute with an agency through which I was contracted to provide psychological services in different facilities. He bills Medicare and then sends me 57ish% of the payment. He began paying me fewer and farther between (every 2-3 months) with big gaps in payment.

I finally could not be in this kind of financial situation anymore so I gave my 30 days and quit. I also privately contracted with one of the facilities that he was previously contracted with. He feels I owe him $25,000 in a "no compete" fee. As a result, he has withheld about $22,000 of my payment from Medicare and other insurances. Is this legal?
Hello and welcome,

You were an independent contractor for this company and not an employee?

Customer: replied 4 years ago.



I see.

No, the company is not permitted to withhold such a fee that you have not agreed to pay as this would typically involve a breach of contract claim. Moreover, non-compete agreements are normally illegal in the state of CA, so even if such a fee were required under a contract, it would likely not be enforceable.

Since you were an independent contractor, your recourse would normally involve filing suit against the company for the amount owed in the Superior Court where the company is located.

Because of the amount involved, it would be best to retain a local employment or contracts law attorney to represent you in this matter. A tactfully drafted demand letter from the attorney may be enough to resolve the matter in your favor if the company wishes to avoid a lawsuit.

I hope you found my answer helpful, even if the law is not in your favor; please click on the GREEN ACCEPT button above for my answer. This is necessary for me to be paid for my work and so that I can get credit for assisting you. Your question will not close, and you will still have the opportunity to follow-up if needed. Leaving a bonus and positive feedback is not required, but doing so is certainly appreciated!

If you have additional questions, please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous. Thank you.

Tina and 2 other California Employment Law Specialists are ready to help you

Related California Employment Law Questions