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I worked for a company in Indiana for almost two years.

Sent to Employment Law Experts April 24 05:05 PM

I worked for a company in Indiana for almost two years. When I was hired, I received $5,000 for relocation with a stipulation that if I left before 4 years I would have to pay back the prorated balance owing. I was the GM and the company was failing. The CEO of our parent company quit and he had told me that he wanted to shut the company down, so I knew it would be closing soon. Subsequently I found another job. They closed the company down two days later. 6 months after I left I got a letter from their attorney asking for $3,000. I now live in Illinois, have been unemployed for 2 months and will be moving to Texas in a week. Do I have to pay the money back and what can they do if I don''t?

 

Optional Information:
Bloomington, Illinois

Customer (name blocked for privacy)
Status:  Closed   Value: $15
Answer
April 24 7:32 PM (2 hours and 26 minutes and 44 seconds later)
         
ACCEPTEDCheck Mark
Are you stating that you left prior to the company being closed? If so, then you broke the contract you had with them and are therefore responsible, per the terms of that agreement, to pay back that money. If, however, you left only AFTER the company was closed, then you are NOT responsible for paying the money back as the COMPANY breached their contract with you and in fact you could sue them for breach of contract as well as file for unemployment benefits while you remain in that state. Should you decide to file suit or a counterclaim for breach of contract against them, you can do this by obtaining the forms from the Clerk of Court in the county where the company is located and you can seek monetary damages such as moving expenses, court costs, etc. and have the court order that you are NOT responsible for paying them since they closed the company before you could leave.

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