Coffey v. Planet Group, Inc.

In 2007, Plaintiff was hired as a salesperson at Planet Group, Inc. As part of his employment, Plaintiff signed a Sales Compensation Plan, which set out the requirements for when a commission was earned and how it would be paid. In 2009, Plaintiff’s employment was terminated. Plaintiff filed an amended complaint against Planet Group, alleging that he was owed commissions on four of the projects he was working on that were ongoing at the time of his termination. The district court granted partial summary judgment to Planet Group on three of the projects, finding that the Compensation Plan required a signed contract prior to a commission’s being paid. Plaintiff appealed, arguing that Neb. Rev. Stat. 48-1229(4) does not permit an employer and an employee to contractually define when a commission becomes payable as “wages,” and therefore, he was entitled to commissions for two of the three projects at issue. The Supreme Court affirmed, holding (1) the 2007 legislative amendments to section 48-1229(4) allow an employer and employee to contractually define when a commission becomes payable; and (2) therefore, the commissions for the two projects were not payable to Plaintiff under the Compensation Plan.View "Coffey v. Planet Group, Inc." on Justia Law