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Straight commission based employee (no salary or hourly),

Customer Question
Second opinion] Straight commission based...
Second opinion] Straight commission based employee (no salary or hourly), Florida.
Whenever there is a mistake and a warranty claim is denied, no matter who's fault, they take it from my check. It can be a mistake on my part (which I will own too) or a mistake from the Warranty Clerk (not my fault, as I entered correctly, was entered incorrectly from them whether improperly filing or whatever.)When they take from check they never let me know or have me sign anything. A previous employee always had us sign before taking anything from our check if a warranty claim was denied. This one DOES NOT. They just take
whatever they please and never let us know what it is for, etc etc. Is the Legal in Florida? Must they have us sign off before doing so?
Submitted: 7 months ago.Category: Employment Law
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Customer reply replied 7 months ago
Correct to word employee (should be employer on second paragraph).
Answered in 3 minutes by:
11/24/2017
Employment Lawyer: legalgems, Lawyer replied 7 months ago
legalgems
legalgems, Lawyer
Category: Employment Law
Satisfied Customers: 13,386
Experience: Just Answer consultant at Self employed
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Hello! I will be reviewing your question and posting a response momentarily; if you have any follow up questions please respond here. Thanks!

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Employment Lawyer: legalgems, Lawyer replied 7 months ago

Is the claim being denied by the employer or is the customer canceling the order?

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Employment Lawyer: legalgems, Lawyer replied 7 months ago

Also does the employment contract address this?

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Customer reply replied 7 months ago
No contract was ever signed at employment. Toyota is dening claim, it usually is because it was filed wrong by warranty claim administrator. The warranty claims have to be claimed under correct codes to be paid. If not, they deny.
Customer reply replied 7 months ago
When denied they take from check. I ak never aware until i get paid.
Employment Lawyer: legalgems, Lawyer replied 7 months ago

Thank you;

normally the employment contract will address these issues; if they do not, then the next step is to look at the past practices of the company to determine if there are any implied contracts that address the issue.

Earned wages cannot be deducted but typically commissions are not earned until the transaction is completed (again normally there will be some documentation as to what the policy is).

From a practice perspective it is standard to provide an itemized deduction to ensure that it is clear that the commission is being deducted due to the sale/transaction falling through; but the statutes are silent as to what type of written notice, if any, is required.

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Customer reply replied 7 months ago
in Florida is a claim is denied for the warranty job, by no fault of my own, but by a mistake of the warranty admin at the dealership, I'm held responsible for their mistake?
Customer reply replied 7 months ago
they dont have to tell me at all or gave me sign off on anything acknowledging the chargeback?
Employment Lawyer: legalgems, Lawyer replied 7 months ago

There is not a specific statute that addresses that;

normally the employment contract would provide those details (or the commission agreement).

Generally commission is contingent upon the deal being completed so if it falls through for any reason it usually will not result in commission.

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Customer reply replied 7 months ago
Ok, but the tech that performs the job doesnt get penalized. So it looks as if the only one that ever gets penalized is the commissioned sales guy. Tech gets paid either way.
Employment Lawyer: legalgems, Lawyer replied 7 months ago

I wouldn't be able to comment on that without knowing the employment agreement between that employee and the employer unfortunately.

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Customer reply replied 7 months ago
Ok well what they are taking oit isnt the commission part i sold, there taking out the entire charge. Ex. Oil change was $100 and denied from warranty. Im charged back $100. Commission isnt paid till warranty pays anyway. So they get paid essentially, from me, since Toyota denied it.
Employment Lawyer: legalgems, Lawyer replied 6 months ago

An employee can be paid on commission-for example please see the below based on detailing:

https://www.dol.gov/whd/opinion/FLSANA/2006/2006_06_29_15NA_FLSA.htm

However, if the employee performs the service and the employer does not receive compensation because a third party denied it due to know fault of the employees that would apparently violate the Fair Labor Standards Act but I could not find a case law that dealt specific with that.

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Employment Lawyer: legalgems, Lawyer replied 6 months ago

Hello again; just checking in to see how things worked out;

If you have no further questions a positive rating is most appreciated (at no additional cost to you) and allows the site to credit my account for the time spent assisting you!

if you have further questions please don't hesitate to reach out to me here on Just Answerand I will do my best to get you the requested information.
Thanks!

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