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


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