Client Alert

New York Court of Appeals Settles Important Issues Regarding Commissions and Wage Law Coverage

June 13, 2008

Allan S. Bloom

Employers throughout New York breathed a collective sigh of relief on June 10 as the New York State Court of Appeals settled a thorny issue in their favor. In Pachter v Bernard Hodes Group, Inc., New Yorks highest court confirmed that an express or implied agreement between an employer and its employee will determine when a commission is earned and becomes a wage for purposes of New Yorks wage payment law.

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