Procedural Posture

[Saim Khan]

Appellant employee sued respondent employer and respondent president for breach of an employment contract. The Los Angeles County Superior Court (California) entered a judgment for the employer and the employee appealed. The civil litigation lawyers Los Angeles will protect you from los angeles business and civil litigation.

Overview

The employee was hired as a sales manager. The agreement governing the parties' relationship provided that the employee was to receive commissions based on sales and was to set up a national sales organization. After being discharged, the employee filed suit for breach of contract. The court reversed the judgment for the employer and its president. The trial court erroneously refused to admit evidence of commissions actually earned by the employee prior to his discharge and erroneously instructed the jury that the employee had no claim for commissions. Though the employee violated the contract by failing to set up a national sales force, his duty to do so was severable from the clause providing that he would receive commissions on sales he made. The complaint sufficiently included a claim for commissions, and the case was remanded for a new trial solely on the issue of the amount of commissions due the employee for sales made prior to his termination. There was no error in the admission of a telegram which the employee admitted writing as the telegram could not be deemed prejudicial to the employee.

Outcome

The judgment for the employer and its president was reversed; the case was remanded for a new trial on the issue of the amount of sales commissions due the employee for sales made prior to his discharge.