Plaintiff filed a lawsuit against his employer under the Illinois Wage Payment and Collection Act after he was denied the full amount of a performance bonus plaintiff alleged that he had earned. Plaintiff also alleged fraudulent misrepresentation. The defendant argued that it never consented to the terms of the incentive plan because of the plan’s boilerplate disclaimers and the district court granted the defendant’s motion to dismiss on that basis. The Seventh Circuit reversed and remanded the Wage Act claim for further proceedings, finding that because plaintiff alleged that the employer provided him with a written plan detailing the required sales targets to earn a certain amount of incentive compensation, plaintiff plausibly alleged that the employer had agreed to pay him the full amount. The Seventh Circuit affirmed dismissal of the claim for fraudulent misrepresentation, explaining plaintiff did not plausibly allege that the withholding of the bonus was fraud. (EASTERBROOK and SCUDDER, concurring)
Federal 7th Circuit Court
Civil Court
Illinois Wage Payment and Collection Act