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  1. #1

    Default Repayment of Relocation Expenses Agreement

    My question involves labor and employment law for the state of: FL

    I posted for an internal position within my company in Feb 2011 which involved a company-funded relocation. This was a forced relocation due to the closure of an office in my previous location. I signed a relocation agreement March 1 which states "If prior to 12 months after the effective date of my job transfer or employment in the new location with the Company, I voluntarily terminate my employment with the Company, or am involuntarily terminated for any reason which does not entitle me to severance pay under Company policy, or I do not relocate to the agreed work location, I agree to reimburse the Company for the full amount of all Policy payments, whether payments were made directly to me or to third parties for services rendered on my behalf. Neither this Agreement nor any action taken hereunder shall be construed as a contract for relocation or a contract for employment for a specific duration."

    I later relocated in June 2011. I recently resigned this position at the end of March 2012 to take a position with another company. My now former employer has advised me in writing that they reserve the right to collect the relocation amount which is well into the five-figure range. The letter states my "effective start date" as 6/27/2011.

    At the time I signed the agreement, I was advised by the company and by the relocation vendor that the 12 month period started with the date I signed the agreement. I may or may not have gotten this in writing (I am still looking through my documents) but I do remember being told this several times over the late 13 months. Given that information I operated under the assumption that my obligation ended March 1, 2012. NOTE: The agreement does not list any "date of job transfer" or date of "employment in the new work location". It only lists an "Anticipated Position Start Date" (which is listed at 06/11 mm/yy) and of course the date the agreement was signed.

    Prior to signing the agreement, I along with other employees relocating at that time, were told that the cost of living at the new location was equivalent to the cost of living at our current location and therefore we were not giving any cost of living adjustment in our salaries. I do have this in writing. Since relocating the cost of living has been over three times higher than our previous location (I have extensive documentation including a complete billing history of all of our household expenses going back 3-7 years.) This change in our cost of living with no adjustment in salary has placed an extreme hardship on myself and my family.

    For several month prior to resigning I posted for a number of internal positions and even interviewed for one but was passed over for all. The pressure of mounting bills and expenses forced my to seek a better-paying position elsewhere beginning in March 2011. I was hired fairly quickly and tendered a two-week notice. I start the new job Monday.

    My questions are:

    1. Can an employer legally enforce the agreement if there was no specific start date written in the agreement and there was no date of job transfer listed at all?

    2. Can an employer legally require an employee to continue to endure unreasonable financial hardship in enforcing such agreement given the deception I noted above regarding cost of living and the lack of any salary increase?

  2. #2

    Default Re: Repayment of Relocation Expenses Agreement

    Correction to the original post....

    "The pressure of mounting bills and expenses forced my to seek a better-paying position elsewhere beginning in March 2011" should read March 2012.

  3. #3
    Join Date
    Sep 2011
    Location
    OH10
    Posts
    17,019

    Default Re: Repayment of Relocation Expenses Agreement

    Feel free to let a judge decide, if they take you to court. I think you will lose. Further, I do not blame your company if they do take you to court. Your lack of financial management skill, is not relevant to your legal obligation.

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