Under what circumstances can an employee who owns an outside company be fired?

UPDATED: Sep 10, 2012

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Under what circumstances can an employee who owns an outside company be fired?

I work for a manufacturer as a salaried employee. I also own a business that is a distributor of this companies products. My company owes the manufacturer I work for a balance because of a customer who did not pay. Can the company hold my pay or fire me because of my companies debt to them?

Asked on September 10, 2012 under Employment Labor Law, Idaho


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

Your employer may not withhold any pay from you without your consent or agreement, though if your company owes your employer money, it could certainly take legal action (e.g. sue) to recover that money. If you do not have an employment contract, you are an employee at will and may be fired at any time, for any reason--including that  your company owes money. If you have an employment contract, you may only be fired in accordance with its terms.

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