Case details

Independent contractor claimed he was owned commissions

SUMMARY

$34675

Amount

Decision-Plaintiff

Result type

Not present

Ruling
KEYWORDS
FACTS
In 2011, plaintiff Steve Swain, 40s, an independent contractor, sold online marketing services to customers for his employer, Zinfi Technologies Inc. Swain worked as an independent contractor in direct marketing in online sales for the company since 2009. He eventually stopped working for the company in January 2013. However, Swain claimed he was owed approximately $35,000 in commissions for his earnings in the last quarter of 2011 based on an independent contractor contract put into effect earlier in 2011. Swain sued Zinfi Technologies Inc. Swain alleged Zinfi Technologies’ actions constituted a breach of contract or, in the alternative, as a violation of the California Labor Code. The Labor Code violation theory was ultimately lost at trial. Zinfi Technologies brought a counterclaim against Swain, alleging that Swain’s actions constituted trade secret violations and unfair competition. The matter proceeded to a bench trial. Counsel for Zinfi Technologies argued that the subject contract did not need to be paid, as it was superseded by another employment contract. Counsel contended that after Swain left the company, Swain approached former or current clients of Zinfi Technologies, and either talked them out of services with Zinfi Technologies or tried to induce them to sign on for services with his new employer. Thus, Zinfi Technologies’ counsel argued that even if the alleged commissions were earned, the commissions were due to Zinfi Technologies as an offset for Swain’s breach of trade secrets and unfair competition., Swain sought recovery of approximately $35,000, the amount allegedly due for the commissions he earned, plus statutory interest at the legal rate. He asserted that under the subject independent contractor contract, he was also owed prevailing party fees and attorney fees.
COURT
Superior Court of San Diego County, San Diego, CA

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