Payment of commission on termination

 


Guest (Querist)
23 March 2019

Can someone please help with the below scenario?

I am part of a software startup where my sales commissions are paid in 3 phases. A percentage on order booking, a percentage on invoicing and a larger percentage on realising the revenue. After order booking, we invoice our clients on a monthly basis for usage of software (SaaS). Offer letter doesn't mention the duration for which I am liable to receive commission and the order can run into years until terminated.

I have recently have recently resigned from the company after receiving the purchase order for a large value. The company has said I am only liable to receive the commission percentage on the booking of this order. The percentages on invoicing and revenue for this order and earlier orders will be forfeited is what they conveyed. There is no mention of this clause in the offer letter or company policies.

What does the law say about this? Do I have a legal stand here?

Thanks for the help.


kavksatyanarayana (Expert)
23 March 2019

When there is no clause in the offer letter regarding the commission, it is not possible to get the same. However if you have acquaintance with any advocate in your area, just seek his advise showing the office letter/offer letter.


Guest (Querist)
24 March 2019

If there is no clause for commission after termination then it's open right? Usually forfeiture is mentioned as I understand from laws outside India. Does anyone know the standard case for Indian laws?


Guest (Querist)
24 March 2019

If there is no clause for commission after termination then it's open right? Usually forfeiture is mentioned as I understand from laws outside India. Does anyone know the standard case for Indian laws?



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