Am I required to pay back a wage overpayment if the mistake was not my fault?

I have been working for a company for about a
year now and they just informed me that over
the past year they have overpaid me by around
10,000. It was an error by the companies
accounting department. I was just curious
to find out if I am legally obligated to
repay the money. Thank you and have a nice
day.

Asked on April 26, 2017 under Employment Labor Law, Louisiana

Answers:

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Since you did not earn this money, you are legally obligated to repay it. To allow you to keep it would constitute "unjust enrichment" which the courts disfavor. And think about it, if you had been accidentally underpaid, you would be entitled to be paid the shortfall.

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Since you did not earn this money, you are legally obligated to repay it. To allow you to keep it would constitute "unjust enrichment" which the courts disfavor. And think about it, if you had been accidentally underpaid, you would be entitled to be paid the shortfall.


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