Repaying Costs Associated With Recruitment Agency: Company making me pay $11000 upon my resignation because I did not meet the 2 year requirement.

Get Legal Help Today

 Secured with SHA-256 Encryption

Repaying Costs Associated With Recruitment Agency: Company making me pay $11000 upon my resignation because I did not meet the 2 year requirement.

I recently gave 2-week’s notice to my employer. After talking to HR, I was informed I owed $11000 for my “placement and relocation”. I was AWAREI had to repay the relocation cost of $2000 but was UNAWARE of the recruiting cost. The original contract states “If you voluntarily leave the company within 24 months you will be responsible for repaying a pro-rated portion of the costs associated with your placement and relocation.” I did not seek a recruiter, he contacted me after finding my resume online. I was never given the dollar value of my “placement”. Is this legal?

Asked on June 25, 2009 under Employment Labor Law, Tennessee

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

If you signed a contract indicating that you would repay a pro rata portion of the costs, it is legal. You had the option of requesting to see what those costs would be before you signed the contract, and either turning down the placement and relocation or trying to bargain the amount down.

Note that if you were not presented with the contract until AFTER  you had already accepted the job and been relocated, you might be able to challenge it successfully; if you'd already taken the job and  moved without any conditions or repayment terms, your company could not retroactively change the "bargain" between you. However, if you signed it prior to the relocation, it would be binding. You can at least ask to see the original bills, so you can do your own calculation that they are being pro rated accurately; and if the bills are much higher than normal relocation or recruitment, you could probably fight them on the grounds that the costs are excessive and at least push them down.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption