Can a company take back a commission

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Comments (7)

betty in Tacoma, Washington

81 months ago

I was paid a commission on a sale that then cancelled. Is it legal for my company to take back the commission that was paid to me?

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Margaret in Washington, District of Columbia

81 months ago

Yes, of course they can take back the commission. Otherwise, every commissions job would be worth millions. You could just tell everyone to buy and return and you'd get paid, paid, paid!!! You need to check the commissions structure to determine the chargeback period. When I was in sales, my company could take back the commisison for up to a year after the sale. That meant I neaded to sell well and give good customer support.

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betty in Tacoma, Washington

81 months ago

Would this be the case even when it was the company I work for that didn't satisfy the terms of the agreement? We failed to produce by promised date and I'm not a programmer therefore cannot fix/service that.

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Tom in Inwood, New York

74 months ago

betty in Tacoma, Washington said: Would this be the case even when it was the company I work for that didn't satisfy the terms of the agreement? We failed to produce by promised date and I'm not a programmer therefore cannot fix/service that.

If services and/or products were not rendered, then yes the commission can be taken back.

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Neil in Columbia, Maryland

63 months ago

What if the sale went through but the salesperson didn't get a form into the manager of the office so she kept the commission as a punishment?

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John in Lake George, New York

33 months ago

Can a company take a commission back, if there was a change in delivery or the customer did an even exchange on a product (they buy a particular product, it doesn't work and they just want to swap it out for the same thing?

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nameless in Redwood City, California

33 months ago

betty in Tacoma, Washington said: I was paid a commission on a sale that then cancelled. Is it legal for my company to take back the commission that was paid to me?

Call the Department of Labor in your area to find out. It's a federal agency with offices all over the United States. Get the phone number from 411. They have representatives that will answer this question for you. They are very PRO-EMPLOYEE, protecting employees from employer abuse. I'm in sales and over the years have run into similar situations. When I told the companies I was going to file a complaint with the Department of Labor, I got paid the same day and the check was sent overnight delivery. Funny how issues get resolved so quickly when the Department of Labor (or threat of their involvement)occurs.

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