Karlovasitis v Link Property Services Pty Ltd (No.2)
Case
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[2018] FCCA 2848
•5 October 2018
Details
AGLC
Case
Decision Date
Karlovasitis v Link Property Services Pty Ltd (No.2) [2018] FCCA 2848
[2018] FCCA 2848
5 October 2018
CaseChat Overview and Summary
In *Karlovasitis v Link Property Services Pty Ltd (No.2)*, the applicant, Mr Karlovasitis, sought to recover commission payments allegedly owed to him by his former employer, Link Property Services Pty Ltd, following his resignation. The dispute centred on the interpretation of his contract of employment concerning the entitlement to commissions for work that was secured before his resignation but where payment was scheduled to occur after his departure.
The primary legal issue before Judge Altobelli was to determine whether the applicant was contractually entitled to receive commission payments for sales that were finalised and written prior to his resignation, even though the contractual payment dates for these commissions fell after his employment had ceased. This required a close examination of the terms of the employment contract, particularly those clauses relating to commission structures and payment triggers.
Judge Altobelli reasoned that the contract stipulated that commission was earned upon the "writing" of the business, which was understood to mean the securing of a client or a contract. The subsequent payment date was a procedural matter and did not negate the entitlement to the commission once the condition of "writing" the business was met. Therefore, the court found that the applicant had a contractual right to the commissions for the work written before his resignation, irrespective of the post-resignation payment schedule. The court ordered that Link Property Services Pty Ltd pay the outstanding commission amounts to Mr Karlovasitis.
The primary legal issue before Judge Altobelli was to determine whether the applicant was contractually entitled to receive commission payments for sales that were finalised and written prior to his resignation, even though the contractual payment dates for these commissions fell after his employment had ceased. This required a close examination of the terms of the employment contract, particularly those clauses relating to commission structures and payment triggers.
Judge Altobelli reasoned that the contract stipulated that commission was earned upon the "writing" of the business, which was understood to mean the securing of a client or a contract. The subsequent payment date was a procedural matter and did not negate the entitlement to the commission once the condition of "writing" the business was met. Therefore, the court found that the applicant had a contractual right to the commissions for the work written before his resignation, irrespective of the post-resignation payment schedule. The court ordered that Link Property Services Pty Ltd pay the outstanding commission amounts to Mr Karlovasitis.
Details
Key Legal Topics
Areas of Law
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Contract Law
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Employment Law
Legal Concepts
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Breach
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Contract Formation
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Remedies
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Statutory Construction
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Cases Citing This Decision
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Cases Cited
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Statutory Material Cited
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Karlovasitis v Link Property Services Pty Ltd
[2018] FCCA 1803
Perri v Coolangatta Investments Pty Ltd
[1982] HCA 29
Ms Nichole Dowie v Brookwater Realty Pty Ltd
[2014] FWC 531