Rundown of the Illinois’ Sales Representative Act

Web Admin - Friday, November 22, 2013

Employers often pay their salespeople a commission, meaning that the salesperson collects a percentage of whatever they can sell. It is a way for employers to motivate their sellers, and it lets sellers see the benefits of their hard work. But, both employers and employees should note that Illinois passed a special employment law, the Sales Representative Act, to regulate how employers must pay these commissions.

The Sales Representative Act applies to all commissions, which it defines as a compensation scheme based in whole or in part on a percentage either of the employee’s gross sales, or the net profits from those sales. The Act covers three main areas: when commissions come due to the employee; how employers should handle commissions owed to a terminated employee; and the penalties that can apply to employers if they fail to comply with the Act.

As to when the employer must pay the commissions, the Act contains several scenarios. If the employee’s contract specifies a due date for the commission, then the Act allows that to control. However if the employee works without a contract, or if the contract does not specify a date, then the Act looks to the employer’s past practice of when they pay the employee, and then holds the employer to that schedule. If the employer only recently hired the salesperson, meaning there is no past practice, then the Act uses the standard practice of the salesperson’s industry to determine when the employer owes commissions.

The Act also lays out specific requirements for paying commissions to terminated employees. If the employer owes any commissions to the employee at the time they let the employee go, then the employer must pay those commissions within thirteen days of the employee’s termination. If more commissions come due after the employee’s termination, then the employer must pay those no later than thirteen days after they come due. Additionally, the Act specifies that an employee’s waiver of the right to collect on commissions after they are terminated will not be enforced.

The Act also contains severe penalties for employers who fail to comply with the Act’s guidelines for when to pay commissions. An employee may sue them for failure to pay, and receive up to three times the value of the commissions. Additionally, the employer may be forced to cover the salesperson’s court costs as well as their attorney’s fees.

Legal Help

If you are a salesperson being paid on commission who believes their employer violated this act, or if you are an employer concerned about whether your practices comply with the law, contact an experienced Illinois employment lawyer today. We serve many northwest suburban areas including Schaumburg, Palatine, Des Plaines, Rolling Meadows, and other nearby communities.

Recent Posts


overtime pay investment property denial of life insurance attorney fees speeding truck collisions Rolling Meadows accident lawyer Arlington Heights injury attorney Inverness DUI lawyer clemency Des Plaines DUI attorney Illinois Trust Code real estate lawyer Barrington medical malpractice lawyers Class A misdemeanor mortgage Illinois estate planning Inverness real estate attorney Illinois insurance claim dispute lawyer medical research pedestrian accidents Illinois speeding lawyer Illinois insurance claim dispute lawyers School Visitation Rights Act Illinois living will auto accidents child safety personal injury claim Schaumburg wrongful death attorney vacation home power of attorney for healthcare revenge porn federal crimes Crystal Lake insurance lawyer texting and driving Chicago employment lawyer Arlington Heights real estate lawyer drug possession Schaumburg employment attorney Crystal Lake car accident attorney Schaumburg probate attorney breathalyzer test Inverness civil lawyer condo association Illinois pedestrian accident attorney Illinois Workers’ Compensation Commission creditors changes to mortgage law sexual harassment criminal defense Des Plaines tax law firm Whistleblower Claims medical malpractice compensation Chicago will attorney murder defense homestead rights Deer Park DUI lawyer unfunded trust Rolling Meadows Attorney life insurance claims Barrington criminal lawyer Arlington Heights wills and trusts lawyer Home Remodeling Repair Act institutional trustee car accident Des Plaines real estate attorney Rolling Meadows traffic law firm wills first degree murder dealing with problem employees Deer Park medical malpractice attorney vacation home fines hiring employees eluding a police officer tax attorney living trust benefits Crystal Lake traffic attorney Arlington Heights personal injury attorney LLCs Rolling Meadows employment law attorneys wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace Des Plaines pet law attorney sole proprietorship Crystal Lake medical malpractice lawyer fiduciary rule delay estate planning attorney Fourth of July Illinois wills and trusts attorneys Illinois defective products attorney Schaumburg personal injury attorney DGAA Illinois real estate DUI Buffalo Grove insurance claim dispute lawyers Palatine employment lawyer traffic violations Schaumburg civil litigation attorney new real estate form insurance attorney Long Grove wills and trusts attorneys ACA marijuana job lawyers Barrington real estate lawyer loopholes Rolling Meadows Traffic Lawyer Chicago trucking accident attorney digital information civil litigation attorney natural gas crossover accidents fault based insurance Illinois employment attorneys Crystal Lake personal injury attorney Arlington Heights wills and trusts attorneys Barrington business law firm Buffalo Grove traffic attorney drunk driving statistics motorcycle accident drunk driving Illinois attorney Barrington estate planning attorney license reinstatement icy parking lots Inverness insurance attorney Illinois insurance claims lawyers Schaumburg elder law lawyer corporate law Arlington Heights tax lawyer Crystal Lake employment attorney medication errors Rolling Meadows employment attorney bicycle dooring accidents spinal cord injuries Do Not Resuscitate probate lawyer Schaumburg criminal law attorney slip and fall real estate attorneys Illinois will lawyer Illinois trucking safety Illinois bicycle safety Arlington Heights personal injury lawyer Mount Prospect real estate lawyer traffic crimes Barrington drug crime attorney Illinois employment law firm Chicago traffic lawyer insurance agents Illinois medical malpractice claim Rolling Meadows insurance attorney wage theft car crashes Joliet general practice lawyers Rolling Meadows car accident lawyers Palatine drug lawyer Illinois personal injury attorney Illinois Human Rights Act underinsured motorist Deer Park personal injury lawyer Affordable Care Act trustee CAM elder abuse Barrington Traffic Lawyer Crystal Lake medical malpractice attorneys Fair Labor Standards Act criminal law real estate contract personal injury accidents employment law insurance claim Arlington Heights estate planning attorney cell phone tower data healthcare Illinois employment lawyer probate claims subcontractor coronavirus Illinois business law atorneys Barrington civil litigation attorney Inverness traffic law firm field sobriety test Palatine Attorney Chicago estate planning lawyer DNR internet Rolling Meadows breach of contract Buffalo Grove medical malpractice lawyers low-ball insurance settlement pizza emoji Rolling Meadows marijuana attorney Jay Andrew Inverness elder law lawyer Des Plaines drug lawyer Chicago biking tips startup company employment law, Illinois employment laws Palatine employment law lawyer Illinois traffic laws Crystal Lake estate planning lawyer BAIID anesthesia errors Illinois employee rights attorney. pedestrian-automobile accident bike accident Schaumburg insurance lawyers suspended license Illinois pet lawyer Chicago employment attorney Mount Prospect wills and trusts lawyers DUI defense Illinois civil litigation lawyer bad faith insurance claims traffic violations defense Palatine criminal defense lawyer Palatine trusts lawyer filing a medical malpractice claim Des Plaines insurance attorney estate planning lawyer back injuries comp time car accident lawyers Barrington employment attorney PTSD Des Plaines Traffic Lawyer Barrington Illinois estate planning lawyer Illinois DUI attorney workers compensation pain and suffering unpaid overtime pedestrian accident Deer Park traffic lawyer Palatine real estate lawyer pregnant women Des Plaines claims law firm Rolling Meadows estate planning attorney blood alcohol content Buffalo Grove injury lawyer controlled substance installment contracts senior citizens preventing accidents deed transfer estate planning for college students Long Grove estate planning Schaumburg estate planning lawyer Illinois criminal defense attorney life insurance real estate leasing problem employees Rolling Meadows criminal attorney IRA benefits Crystal Lake traffic lawyer Palatine elder law attorney Arlington Heights pedestrian accidents underfunded trust Illinois wills and trusts South Barrington real estate attorney independent contractor medical malpractice insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Deer Park motorcycle accident lawyer construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation blended families Palatine construction attorney golf accidents personal injury attorney Illinois medical malpractice case Crystal Lake car accident lawyer Rolling Meadows business lawyer drug crimes lawyer taxes Home Sale Contingencies insurance negligence Family Medical Leave Act Schaumburg criminal attorney texting while driving workplace sexual harassment Des Plaines motorcycle accident attorney rollover car crashes pay when paid contract college kids Long Grove estate planning attorneys employment attorney Arlington Heights accident attorney probate process medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers Schaumburg traffic lawyer Illinois red light cameras Rolling Meadows personal injury lawyer elder law Palatine corporate law attorneys Barrington estate planning lawyer car accident lawyer owner responsibility insurance claims Crystal Lake bike accident lawyer life insurance policy Illinois insurance lawyer dram shop law Chicago will attorney, social media platforms, Illinois estate planning lawyer, commercial real estate Palatine estate planning lawyer IRS no contest clauses Arlington Heights wills and trusts lawyers small business natural gas explosion premises liability Illinois traffic ticket lawyer distracted driving accident victims car crash injuries accidental death benefits defective products Schaumburg injury lawyer Buffalo Grove criminal defense lawyer criminal drug crime Buffalo Grove employment lawyer condo license revocation Barrington injury attorney Crystal Lake tax lawyer Inverness estate planning lawyer living wills insurance claim dispute attorney underage DUI comparative negligence foreclosed rental property Illinois job attorney Inverness accident lawyer Illinois employment laws whistleblower protections Illinois collections attorney advance healthcare directive agent drug crimes commercial leases swimming pools meal breaks Mount Prospect elder law attorney involuntary manslaughter rent to own real estate contracts traffic offenses Mt Prospect Attorney probate fees Chicago insurance claim attorneys workers compensation benefits landlord overtime violations special needs trust gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys Des Plaines criminal attorney expungement marijuana crimes attorney Inverness real estate lawyer Illinois Transfer on Death Instrument Chicago insurance law firm minimum wage Kenilworth estate planning attorneys Barrington litigation attorney caretaker rights defective products lawyer Buffalo Grove car accident lawyer deadly crashes Schaumburg real estate lawyer boating under the influence Arlington Heights Attorney insurance agent negligence Illinois car accident attorney Illinois business lawyer appealing an insurance claim Arlington Heights lawyer sexual images cell phone unauthorized overtime Illinois boating accident lawyer estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers Schaumburg construction accident lawyer liability claims manufacturing Federal Food Drug and Cosmetic Act home inspection lawyer Illinois medical malpractice attorney Palatine corporate attorney hit and run accident slip and fall accidents Super Mario employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, estate planning trusts Palatine law firm estate tax Crystal Lake employment lawyer POA Illinois Retaliatory Discharge personal injury law firm living trust workers comp Illinois rollover accident lawyers estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, trauma after an accident Crystal Lake pedestrian accident lawyer personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys Arlington Heights insurance attorney Food and Drug Administration's Food Safety Modernization Act driving Rolling Meadows medical malpractice lawyers Arlington Heights medical malpractice lawyer liability guardianship attorney pedestrian injuries, pedestrian fatality in terrorem provision insurance claim denials Illinois employment law attorney Illinois employment law Illinois traffic attorneys Illinois traffic accident lawyer Thanksgiving Illinois workers compensation attorney capital gains tax compensatory time Barrington boating accident attorney IRA trust transfer dynasty trusts liens Illinois jet ski accident lawyer trucking accident lawyers holiday statistics Des Plaines accident attorney power of attorney Colin H. Gilbert Rolling Meadows personal injury attorney Illinois elder law attorney traumatic brain injuries Palatine traffic accidents Palatine workers compensation lawyer foreclosure Schaumburg corporate attorney construction contracts Rolling Meadows real estate attorney personal injury claims modern family estate planning murder charges Illinois insurance claim attorney uninsured motorist Illinois insurance attorney employment lawyer landlord tenant law Legal Info Barrington employment law firm Illinois small business jet ski accidents Chicago car accident lawyer right to work Rolling Meadows personal injury lawyers Crystal Lake business law attorneys Des Plaines personal injury attorney Employment Discrimination Law DUI attorney wrongful death automated cars Barrington personal injury lawyer fiduciary rule brain injury wills and trusts Illinois traffic attorney real estate zoning consent to a search Crystal Lake pet attorney Rolling Meadows traffic attorney Illinois workers compensation lawyer Illinois tax attorney paid sick leave car crash Chicago estate planning jet ski living trust vs will forming a corporation in Illinois Illinois injury lawyer murder Illinois motorcycle accident lawyer trench injuries Illinois real estate lawyer Illinois medical malpractice lawyers drugs insurance dispute car collision Illinois personal injury lawyer caregiver construction accidents llinois Real Estate Lawyers Association health insurance dispute digital evidence traumatic brain injury Arlington Heights traffic attorney Chicago corporate attorney Illinois Probate Act of 1975 Des Plaines drug crimes lawyer cell phone accidents Inverness corporate attorney traffic tickets Illinois estate planning law firm Detainer Actions Attorney Ken Apicella Palatine civil attorney FSLA social media after death Schaumburg personal injury lawyer motorcycle accident lawyer digital media accounts, estate planning, Arlington Heights estate planning attorney, Illinois wrongful termination lawyer residential real estate Barrington workers compensation attorney privacy laws estate planning car accidents Long Grove estate planning attorney license suspension Palatine civil litigation lawyer real estate attorney employee misclassification estate attorney employee rights Crystal Lake accident attorney personal injury lawyer traffic accidents Arlington Heights employment law attorneys contracts Arlington Heights car crash attorneys Des Plaines personal injury lawyers Illinois Wage Payment and Collection Act Palatine probate lawyer Arlington Heights TBI attorney Crystal Lake will lawyer digital assets Illinois Smoke Detector Act Deer Park real estate law firm commercial leasing unpaid assessment insurance disputes Deer Park accident attorney DUI penalities business litigation Buffalo Grove personal injury attorney insurance dispute attorney Illinois workplace lawyer Liquor Control Act Arlington Heights criminal lawyer Rolling Meadows litigation lawyer Rolling Meadows insurance lawyer Crystal Lake employment law attorney employment contract Rolling Meadows insurance dispute lawyers Illinois registered agent Long Grove real estate attorney Riverwoods estate planning lawyer Illinois construction accident attorney criminal record ken apicella Crystal Lake personal injury lawyer gift taxes Kenilworth estate planning lawyer civil litigation insurance adjusters Self-Directed IRA Accounts pet bites Illinois probate lawyer Inverness injury lawyer financial advisors Des Plaines real estate lawyer Illinois driving without license bicycle accidents Buffalo Grove traffic lawyers Exclusions Palatine injury attorney Des Plaines Illinois corporate lawyer Rolling Meadows insurance dispute lawyers, insurance dispute Inverness probate lawyer employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys Rolling Meadows criminal lawyer Illinois estate planning attorney Illinois personal injury Palatine insurance lawyer probate work unions Crystal Lake law firm Schaumburg Barrington employment law attorney denied insurance claims trusts digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers Colin Gilbert Palatine personal injury lawyer civil rights violation Barrington criminal defense lawyer Des Plaines injury law firm mass shooting products liability Buffalo Grove law firm severance agreements hands free device license Schaumburg car accident attorney Buffalo Grove personal injury lawyer insurance denial appeals trucking accidents Palatine punch death Crystal Lake criminal defense attorney BUI medical malpractice claims Palatine business attorney healthcare claims Illinois trusts attorney rollover accidents Rolling Meadows probate lawyer real estate closing Rolling Meadows employment law attorney dog bites traffic deaths estate plan real estate preventable medical errors DMV Buffalo Grove corporate attorney disability benefits Forcible Entry boating DUI Kenilworth estate planning attorney privacy Crystal Lake medical malpractice law firm trust payments IRELA employees Des Plaines personal injury lawyer Rolling Meadows boating crash lawyer loss of consortium Illinois personal injury lawyers insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys federal regulations for LLCs product liability GM ignition switches Rolling Meadows corporate lawyer reckless homicide Chicago attorney Rolling Meadows drug defense attorney Illinois employment law attorneys head on collisions Rolling Meadows DUI lawyer Schaumburg estate attorney fatal car accidents Schaumburg personal injury lawyers insurance claim delay insurance claim dispute Illinois Sales Representative Act rest breaks life insurance lawyer personal injury Barrington personal injury attorney employee discrimination Schaumburg Attorney Illinois law Des Plaines collections attorney Des Plaines medical malpractice attorney medical marijuana Palatine traffic lawyer Policy Cancellation Schaumburg employment law attorneys insurance claim denial Schaumburg estate planning attorney Illinois mortgages BAC South Barrington real estate lawyer Barrington attorney surgical mistakes Crystal Lake civil litigation lawyer Arlington Heights car accident lawyer insurance denials Arlington Heights employment attorney distracted driving accidents food poisoning Palatine employment attorney boating accidents pet law irrevocable trust Illinois home inspection operating agreements Rolling Meadows tax attorney spinal cord injury Des Plaines civil attorney ObamaCare Illinois workplace discrimination attorney probate claims process Schaumburg drug defense lawyer wrongful termination Arlington Heights Traffic Lawyer Illinois insurance dispute lawyers Illinois LLC creation Deer Park traffic accident attorney Crystal lake insurance dispute attorney Arlington Heights trucking lawyer Illinois lawyer Deer Park workers compensation lawyer Illinois insurance disputes denied insurance claim Transfer on Death Instrument Deer Park criminal attorney Arlington Heights wills and trusts attorney TBI Chicago lawyer rumble strips Crystal Lake injury attorney Deer Park employment law attorney traffic laws Inverness personal injury attorney FMLA Buffalo Grove real estate attorney Landlord Tenant Ordinance Long Grove real estate lawyer Schaumburg medical malpractice lawyer Buffalo Grove probate lawyer income distribution deducation nursing home negligence