SRS seen a lawyer today v.soon to be unemployed

Discussion in 'On Topic' started by DigiCrime, Sep 10, 2009.

  1. DigiCrime

    DigiCrime If Only!

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    Need some advice. The business I work for (one man operation its just me, owner has full time job elsewhere) has been running short on money and is internally funded by whatever work I can drag in. If I can't bring it in it's not my fault. I'm not bound to any contracts or anything like that it is what it is. Owner has to fork over her own personal money to cover my payroll. I felt sorry for the owner because her previous partner messed things up and put the business into some debt. But I should have heard the partners side first before I heard the other side. I gave in and let her pay me under the table one time so she could save a couple hundred bucks. I didn't think it would happen again but this last time there was enough money in that should of covered a payroll check and she paid me under the table again. Her excuse this time was "So we can pay some of your doctor bills" since there is no insurance coverage. Was like thanks for the warning.

    She has done this four times since April this year. The two checks in July bounced and I was running check to check at this particular time so I didn't want to enforce anything at that time till I could financially recover from that mess. (in short stir up shit) They cleared a few days later but still doesn't make up for the loss in electronic debits that came out. (ie bounce fees and late fees). I seen a lawyer today but he can't get me in till next Friday on the 18th. Payday is around the corner and surely she wouldn't do it again but chances are there. Lawyer charges $150 an hour.

    If she 1099s me, I will be paying taxes on an income that is less than what I was originally making. She claims she won't do it but I can't risk that. Each check $1k a piece totaling $4000. Last Thursday I tried to be civilized about it and talk to her about this and have her sign a contract that says you will pay me what you owe me in back taxes for my own protection but she didn't even read it. She had a no compete contract in her hand she wanted me to sign which I declined to do so. I don't have to sign a no compete and under no obligation to do so since she was supposed to do it at the time I was hired, not a year later. Kinda blackmailing me or something basically, "I'll sign whatever, if you sign this" was her words.

    If I can make it thru this check and next one I'll be financially ok to just go my way provided she does a normal payroll check. I'm just wondering if my execution or timing is going to play a key role here. She knows I won't sign a no compete now and I believe she is searching for a replacement at this particular time. Should I act now? Ride it out and collect a little more income? Right now I'm pretty broke.

    Regardless of what I do I am going to be out of a job that is for certain.
     
  2. disley

    disley Ooooh no it isn't. Ooooh yes it is. OT Supporter

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    I don't really know what you should do, other than look for another job.
     
  3. 7960

    7960 New Member

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    you also realize that you broke the law when you allowed her to pay you under the table, right?

    so when you go bitching about what she did to you, you're also going to pointing out what you did.
     
  4. DigiCrime

    DigiCrime If Only!

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    Didn't think I was doing anything wrong I guess. So I should leave this alone ?
     
  5. 7960

    7960 New Member

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    when she paid you cash, what did you do about the taxes you should have paid?
     
  6. DigiCrime

    DigiCrime If Only!

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    She paid me what my net would have been after taxes with a check out of her business account. Same as cash I guess. First time I was aware of. That money is set aside. I have to because I know shes going to report it. The last three I had no warning and didn't agree to it.
     
  7. disley

    disley Ooooh no it isn't. Ooooh yes it is. OT Supporter

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    Don't worry, if she didn't deduct your tax then she can hardly complain to the tax dept herself. Lots of employers pay cash, and don't want the tax dept to know, anymore than the employee, who they can pay less to.
    If you're expected to find work for yourself, why do it for her, just do it for yourself.
     
  8. DigiCrime

    DigiCrime If Only!

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    Only reason I'm little worried about it... she had a secretary that worked for her for four months she paid the same way. Stuck her ass with a 1099 and didn't even tell her it was coming. I know cause she made me to call her and tell her "Your 1099 is at the CPA's office you can pick it up"

    She was pissed. I can cover it if it happens it just shouldnt have to be this way.
     
  9. chica&buddies

    chica&buddies Active Member

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    i agree with all this. this situation sucks, and i would get out as fast as i can.

    when i was hired on as an independent contractor with a previous employer, i signed a contract stating i was responsible for all taxes, etc.

    keep in mind, you have the option of paying in a lump sum when you file the taxes for the year.

    this situation sucks, and if i were you, i would've had her sign a document stating that your taxes and social security had been deducted before the paycheck was cut. i'm not sure what recourse you have now, as like beth said, if you work in an "at will" state.

    you might be able to convince a judge if you had paystubs from previous checks clearly indicating she was paying you what you earned minus the taxes.
     
  10. Darketernal

    Darketernal Watch: Aria The Origination =)

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    Im also more tending in saying 'start your own bussiness', if you can reel in the work in that way already, then why would you want to be dependent on her?
     
  11. DigiCrime

    DigiCrime If Only!

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    Right I know its my ordeal to take care of my own taxes. Just imagine though you having to pay taxes ona gross income that is less then what you would normally make. Gross I take in is 1300 something so its 999.75 after taxes. She writes a check for $1000, turns in 1099 for those wages, then my income drops and I would get getting a less hourly rate and paying my own taxes. When I filed my taxes earlier this year the 1099s I had from the previous jobs, I just had them take out the taxes from my fed/state return since it wasn't that much. This is a bit much since I had no warning on the last three. I had a very big argument with her about this on the last one told her (verbatim) she was fucking nuts.


    I can't have her sign anything. When this first got brought up, I did ask her would you put something in writing that you will pay me what I have earned, etc etc and she said no I won't do 1099s because that screws me to. She sweet talked me and made me think it wouldn't happen. Yes I'm an idiot I attempted this last Thursday and she wanted me to sign a no compete. That compete contract is my only exit to a new career should she go nutzo on me. She knows shes fucked me and she tried to get me to sign that thing. She also knows by law she has to pay me to. It is a law here you have to pay your employee(s) if they are working for you regardless if they are doing anything or not unless terminated from payroll (ie we fixed the glitch). If I was in her shoes I'm not sure what I would think I know that I am a liability though and no longer an asset but conscientiously I can't sit around and not do anything have to do something (as much as I would like to sit there and do nothing lol ). However as long as I am working for her, I cannot work for her clients either personally, that would be illegal. I cant imagine whats going thru her mind though whoever takes my place is going to have some fun since there is no one there to walk them thru what needs to be done, whoever takes it over has to know what needs to be done on their own. She works full time elsewhere and can't be there to help them

    And yes I do have previous pay check stubs.

    Dependant on her right now because regardless if business is coming in the door or not, Missouri law requires her to pay me as an employee, not a contractor. But she has every right to terminate me without cause or reason which is another Missouri law. While I have a nice relationship with the customers we do business with there simply isn't enough work right now but I'm not ignoring that fact that I can just pick up the pieces if I leave her and start my own thing. I'm just worried if I wait to long it will be my downfall or if I should ride it out a little longer.

    Forgot to mention she pays me mileage to. I got a partial payment on mileage over the past few months since it was around 867 dollars. Like 260 left on this one yet.

    anyway off to work here shortly. shitty ordeal :( jobs local, like what I do, 90% of the commercial work is local to, just a shady employer
     
  12. 7960

    7960 New Member

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    what kind of job is this?
     
  13. DigiCrime

    DigiCrime If Only!

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    IT support. Residential and Commercial.
     
  14. 7960

    7960 New Member

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    "your client base".............. uh, you mean HER client base.

    and if he solicits clients from HER client base, depending on laws in his state, she may be able to sue him for damages.
     
  15. DigiCrime

    DigiCrime If Only!

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    No Compete contract enables her to do so if I would solicit work from her client base. I didn't sign it nor was I ever going to regardless of how many loopholes there are. Just one less headache I have to worry about. Without my signature it is one extra step she has to take if she wants to take it that far.

    To my knowledge there isn't any law that says I can't start my own thing as long as I don't start a monopoly. There are other IT support places within a 10 mile radius of me, four to be exact and they all do similar things but have separate business practices. The purpose my visit to the lawyer to obtain some legal advice and seek out my options on the tax bit, under payment and what have you. Mean time I am searching for other jobs. Payroll hasn't called in yet I've noticed they always do like clock work after 9:30am :hsd: might get screwed after all.
     
  16. 7960

    7960 New Member

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    not being able to steal her client list has nothing to do with signing a no compete contract.

    right, but there ARE laws that say you can't take her clients with you when you leave.
     
  17. BoomBoomBoy

    BoomBoomBoy Guest

    Isn't there an IRS provision that you can get paid w/o being taxed each pay period, and pay taxes quarterly?
     
  18. 7960

    7960 New Member

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    yep.

    it's not illegal to not have taxes taken out. it is illegal to not pay taxes. that's why I asked the question the way I did, rather than accuse him of doing something wrong.
     
  19. BoomBoomBoy

    BoomBoomBoy Guest

    Yeah, I just wanted to clarify for him it's still OK for him to go after her legally.
     
  20. DigiCrime

    DigiCrime If Only!

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    The contract states that I can't do any business with her clients after termination that's all it means, I've read it. If they call me and most of them do have my personal cell phone after termination there is no stopping me from doing work for them. I am still on payroll at the moment (far as I know) so any work is paid to the company, not me directly. I can't work for them and collect money from them while still on payroll this would be theft.
     
  21. DigiCrime

    DigiCrime If Only!

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    She has to account for money going in and out of her account. Lots of business do practice some sort of cash stuff to avoid taxes but this is a little different. There is a paper trail (ie paper checks) So I don't think she is going to sweep this under the rug. I'll have to pay the taxes just unfair that its a different gross amount and not my fault the business is broke, that is her problem.
     
  22. BoomBoomBoy

    BoomBoomBoy Guest


    Yeah that sounds like a conflict of interest contract. At this point I wouldn't sign anything she gave you.
     
  23. 7960

    7960 New Member

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    I DON'T GIVE A SHIT ABOUT THE CONTRACT.

    Clear? Keep reading.

    you don't listen very well, do you?


    SHE SAID: "get out there and solicit the business from your current client base."
    I SAID: "(IT'S NOT HIS CLIENT BASE) and if he solicits clients from HER client base, depending on laws in his state, she may be able to sue him for damages"
    YOU SAID: "no compete, contract, blah blah blah"
    I SAID: "not being able to steal her client list has nothing to do with signing a no compete contract."


    So listen very carefully. IF you leave, and IF you take her client list with you, and IF you solicit business from that list, she *may* be able to sue you, and that has nothing to do with you signing or not signing a no compete contract.

    But if THEY contact YOU, that's different. She can't stop THEM from soliciting YOU, and she can't force you not to work for them.

    Understand?
     
  24. DigiCrime

    DigiCrime If Only!

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    Relax :hs: I understood what you meant. I didn't explain it correctly I guess. I don't even have access to the client list. I don't have any intentions of taking any thing with me when I leave either.
     
  25. 7960

    7960 New Member

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    she fucked up when she allowed you to give your personal cell phone number to the customers.

    because if you leave, and they call you, there's nothing to keep you from saying "I decided to go on my own. Would you like me to help?" and taking them as clients of your own. the issue is with you contacting them. if they contact you, you're good.
     

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