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Walker v. American Optical Corp.

April 26, 1973

WALKER, APPELLANT,
v.
AMERICAN OPTICAL CORPORATION, RESPONDENT



Appeal from Circuit Court, Lane County. Roland K. Rodman, Judge.

Max S. Taggart, II, Springfield, argued the cause for appellant. On the brief were Sanders, Lively & Wiswall, Springfield.

Hale G. Thompson, Eugene, argued the cause for respondent. With him on the brief were Thompson, Mumford & Woodrich, Eugene.

In Banc. Tongue, J.

Tongue

This is an action by a former employee against his former employer for payment of a bonus of $2,512.42, alleged to be payable under the terms of a "Sales Incentive Plan." Plaintiff also seeks payment of $1,096.91 as 30 days' wages payable under ORS 652.150 for willful failure to pay that bonus and $1,500 as attorney fees payable under ORS 652.200. Plaintiff appeals from a judgment for defendant. We affirm.

Plaintiff was a salesman employed by defendant. In February 1970 defendant delivered to its salesmen, including plaintiff, a copy of a "Sales Incentive Plan," which was described as "an opportunity to earn additional income by improving your sales performance in 1970." Under the terms of that plan a salesman who exceeded the "incentive quota" assigned to him would be paid a bonus, in addition to his "base salary." The amount of that bonus was to be computed in terms of a percentage of the "base salary," depending upon the percentage of the total sales of a salesman for the year 1970 in relation to his "incentive quota."

The plan also provided as follows:

"Payments will be made semi-annually and is expected to be during October, 1970 (based on the first six months performance) and payable in April, 1971. 40% of any incentives computed for the interim payment will be withheld until the final settlement. * * *

"ADDITIONAL RULES

"1. To receive payment of earned incentive including amounts withheld during the incentive period, a salesman must be on the payroll at the time of distribution."

During 1970 plaintiff exceeded 140% of his sales quota. Under the terms of the plan he was paid a bonus of $948 in October 1970. It was stipulated that if he had continued to work through April 1971, at which time further bonus payments were distributed by defendant to its salesmen, plaintiff would have been entitled to an additional ...


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