Employment Agreement
I came recently(on 18th Oct2011) to USA on H1B visa, however, i was here in the year 2006,07 and 2008. I went back to India and got transferred my H1B with my current company. While transferring H1B, have given around $3000 for getting my H1B transferred and also spent money on booking a flight from my home country to USA and initial stay in the USA. In all total, my employer has not spent a single $ on me as of now.
While processing H1b transfer, he has offered $XX000 to me and in the offer letter he has made the agreement that i will have to be them for 18 months, if i break the agreement, will have to pay all the H1B processing/travel expenses(which he has never done it) and gross salary of remaining months of agreement. He has also mentioned that when i came to USA i will have a project with his client and my employment will start as soon as i land to US, however, there was no project and he has not provided me any salary yet. I had to search project by myself with all my expenses, now again he come with new agreement of 18 months with more hefty penalty, if i break the agreement.
Exact wording used in agreement below...
As an at will employee, employee agrees to give 30 Days hand written signed notice before terminating the employment with the COMPANY. If employee quits without 30 days notice, COMPANY is liable to withhold salaries and all monies without notice until all issues are resolved amicably to both parties.
As an employee, I agree that if I breach the agreement or I voluntarily resign within first 18 months of effective start date of employment or seek an employment opportunity with any other COMPANY with or without notice, I will be responsible for repaying the travel expenses, legal and filing fees associated with processing work visa,Green Card related filing expenses,salary advances if any provided by COMPANY,Training & Education Fees, two months of gross salary, financial loss to the COMPANY due to discontinuing employment with COMPANY $2,000 per month for the remainder of 18 months, financial loss to the COMPANY due to discontinuing the in-house billable project or on-site client contract billable project and all the agreed penalties in the amount of $160 per each business day between the date of termination and the end date of billable project to compensate COMPANY for its lost revenue and commissions and any other liquidated damages and liquidated expenses minimum of $10,000.
As i am working in California but agreement says "This agreement shall be governed by State of Pennsylvania law, irrespective of End-Client work location"
I am wondering, should i sign the new agreement? what would be the repercussion if i break the agreement in future for better prospects. Are this kind of agreement valid in Pennsylvania?
I would need your help very urgently, as my employer making me hurry to sign the contract.
Answers (1)
This sounds like a bad situation and I'm so sorry you're involved with what sounds like an unscrupulous employer. However, it's hard to tell with the few facts you've provided. I'm always suspicious when there is pressure to sign a contract quickly; usually, it's a bad sign.
Unfortunately, your question is far too involved to receive a meaningful response on a board like MEL. An attorney will have to read the agreement -- because the exact words have legal meaning -- and consult with you regarding oral and written representations. I handled a similar case several years ago and the oral representations made a huge difference in the outcome.
You must retain a plaintiffs employment attorney to go over the details with you. Be prepared to pay hourly for this. To find a plaintiffs employment attorney in California, please go to the web site of the California Employment Lawyers Association (CELA). CELA is the largest and most influential bar association in the state for attorneys who represent working people. The web site is www.cela.org, and you can search for attorneys by location and practice area.
By the way, a California court may or may not accept the Pennsylvania choice of law language, but at the moment, this looks like only one of the issues involved with your employment.
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Marilynn Mika Spencer is licensed to practice law before all of the state and federal courts in California, and can appear before administrative agencies throughout the country.
posted by Marilynn Mika Spencer | Nov 25, 2011 02:10 AM [EST]
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