Commissioned salesmen and saleswomen can’t be terminated without good cause and notice.
If you’re a salesperson working on commission in Minnesota, you’ve got rights. First, a manufacturer can’t terminate your sales representative agreement unless it has “good cause.” Good cause basically means that the manufacturer has gone bankrupt, you’ve been convicted of a crime relating to the business, or you’ve abandoned your job.
Even if the wholesaler has good cause to terminate your sales agreement, it needs to give you at least 90 days notice – in writing. The employer needs to state in the notice the reason for termination of the Sales Representative Agreement. And the manufacturer, wholesaler, assembler, or importer needs to give you 60 days to correct whatever reason it’s offering as good cause to terminate the agreement. If – and only if – you don’t correct the reason or deficiency within 60 days can the employer terminate the Sales Rep Agreement.
For a legal consultation, call 612-349-2729
Sales Representative Agreements automatically renew unless Minneapolis employees get written notice of intent not to renew.
Minnesota law also provides that sales rep agreements automatically renew unless the manufacturer provides written notice of intent not to renew at least 90 days before expiration of the contract. And – if the contract doesn’t have a termination date – then the Minnesota employer has to provide at least 180 days notice to cancel.
You have the right to get all commissions that you earned if you’re terminated.
If you made sales as a commissioned salesperson, you get those commissions even if you’re terminated before the goods actually ship. In fact, you get your commissions for all sales made prior to your termination date or the end of the 90 day notification period, whichever is later. In fact, if you’re terminated, make a written demand for all commissions earned. If your employer doesn’t pay you immediately, then the company will owe a penalty on top of your regular commissions. The penalty is – for every day the employer is late – it owes the salesperson an additional 1/15 of the commissions due, up to 15 days (when it would owe the Minneapolis salesperson double commissions).
If you’ve got unpaid commissions, call us today.
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If you’re a salesman or saleswoman working on commission and you’ve got a question about your rights, give us a call.
You must act quickly when it comes to employment claims. If you wait, there may be strict statutes of limitation that will bar you from filing any claim at all against your employer. Call Madia Law today to discuss your case.
First, contact our office and tell us about your situation. You’ll talk with our staff for about 5-10 minutes. They’ll get some basic information about you and your case.
There’s some information that we’ll need when you call. We will want to know who you worked for, what kind of work you did, for how long worked there, how much you earned, if/when you were terminated, the reason given by your employer for any discipline and termination, and why do you think your employer did something unlawful or wrongful. If you have this information handy, it will allow us to proceed more quickly.
We will get back to you shortly – usually within a few hours. If your potential case is a little outside of our wheelhouse, we may refer you to attorneys, agencies, or organizations that we think might be better suited to handle your situation. Our goal is to ensure you get the best and most appropriate help possible for your particular situation. If that’s not us, we’ll try to tell you immediately and point you in the right direction.
If we think that we might be able help you, we’ll set an appointment for you to talk with one of our employment lawyers. We’ll discuss your case, and give you our honest assessment of its strengths, weaknesses, and value. If we then mutually agree that Madia Law will represent you, we will talk about the process of moving forward with your case.
When you talk with our employment lawyers, please be sure to have all relevant documents that you have in your possession. For example, that could include: pay-stubs, personnel files, employment handbooks/policies, letters from your employer (including your termination letter), any text messages or emails that you think are important, and any other documents that you think might be helpful.
Call 612-349-2729 or complete a Case Evaluation form
