QUESTION

Will I be able to sue my company?

Asked on Jul 06th, 2020 on Labor and Employment - New Jersey
More details to this question:
I was let go because of the effects of the covid in our industry. 1- Severance package and a relocation package has been offered as per my contract 2- I asked the severance to be extended for X time. It was not accepted but was offered a greater relocation package after negotiations. 3- I asked the relocation package to be paid in cash as lump sum payment which was agreed. 4- Even though the contract states the exact amount for both severance package and lump sum money, it only mentions tax deductions for the severance package and NOT for the lump sum payment. I and my employer agreed on an exact amount for this lump sum money. No one told me about the amount being gross and it does not state in the contract. 5- After signing the contract mutually, the company sent me the lump sum money which was way less than the amount mentioned in the contract which does not confirm gross or net. 6- I told them they are not complying with the contract. Can I sue them?
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1 ANSWER

Criminal Defense Attorney serving Toms River, NJ at Edward J. Dimon
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Severance is a substitute for income and, as such, is taxable. The relocation payment is more complex in that the the amount given to you may be taxable, but the monies spent on relocation is tax deductible. One of my partners is both a CPA and a tax attorney. I did speak with him this morning. We can get more detailed answers if you need them. Ed Dimon, Esq. 732-797-1600 ext 235
Answered on Jul 08th, 2020 at 8:31 AM

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