The company I worked for was sold to another company. I signed a separation agreement with my former employer and have abided by all of the stipulations. The owner of the old company now works for the new company.There is no mention of the new company in the separation agreement. The severance package is solely the responsibility of the old owner.After the separation agreement was signed and sent back, I received an offer and accepted a position with the new owner.The old owner is now reneging on payment of the severance per the separation agreement. His point is that since I now work for the new company he does not have to pay.I disagree of course.Do I have a valid case?
State/Country relating to Question: New Jersey
I have tried verbal arguments with the old owner
Your severance agreement is a legally binding contract between you and the old owner. This has nothing to do with you going to work for the new company, any more than it would if you went and worked at McDonald's. Your case is even stronger if you were required to submit an application and go through that process to get hired at the new company.
It may be hard to get a lawyer to represent you to sue for the money, particularly if it isn't a lot. You can always go to small claims court and make your case. Ideally, you should have a lawyer review the separation agreement though. Here is a link to New Jersey small claims courts:
good luck, and please accept my answer if it was helpful.
Thanks for your quick response. teh amount in question is about $5500 - not huge to entice a lawyer to take my case but it is large enough for me to continue to pursue. NJ has a $3000 cap for small claims so it appears that Civil "Special Part" court is the correct venue < $15,000. For this it says that in the plaintiff or defendant is a business then they must be represented by attorney.
Can I represent myself as an individual in this venue?
If I do need an attorney can I sue to cover my attorney's cost as well?
Thanks for allyouir help.
I have 15 years experience in labor and employment law.
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