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How do MTs protect themselves from fraudulent companies? - Serious


Posted: May 08, 2010

The good news is that I'm all set to begin a new IC position for a company that appears to have a good reputation via the MT community as well as the BBB.

The bad news is that I was working for a company with a nasty reputation for never paying its ICs on time and/or not paying its ICs at all.  The company lost one of its 2 accounts and had to lay off almost all of its ICs 1 month ago.  Now of course, they still owe me a backlog 3 paychecks.

I signed a contract with them stating that I would be paid twice monthly.  Of course these payments never occurred.  The owner told me several times already to "bear with her" since she just lost "half her business" when I kept writing her e-mails to demand payment for services rendered.  While I understand her situation, I assume that HER client paid her for the transcription work performed, so she definitely received HER money!  I understand through a friend that since the company is an LLC, the owner can simply claim bankruptcy and not be responsible for any debts to her former IC staff.

Bottom line is that this woman owes me over $600, and I am beginning to doubt whether I'll ever see the $.  Since the company is 2 time zones away from where I live, it's not like I could go and sue her in small claims court easily, and an attorney would obviously cost more than the money owed to me.

Going forward, what type of protection do MTs even have in situations where they are working as independent contractors for a company located clear across the country?  I am just concerned that this could happen to me again sometime, and I was wondering whether any of you more experienced MTs might know of some better ways of handling these types of situations!

Thanks -

You do have some options, if you want to pursue them - Good Luck

[ In Reply To ..]

There is really little recourse for an Independent Contractor who is not paid.  Basically, you can threaten several things, but you may end up having to go through with it in the end – which, I know, is a scary proposition for most people.   


If you are willing to let me know the State you live in and the State your former “employer” lives in, I can do some further research.  I might be able to learn more if you give the name of the company (you can email me, if you feel more comfortable). 


Options available to you. 


You can threaten to:


1.  Apply for Unemployment Compensation in the State you live in. 


By law, they are required to investigate all claims.  Every State is a little different in what questions are asked on the initial claim.  If your State has one that asks if you are an “independent contractor,” you can probably truthfully indicate that you are not sure.  There is a long list of criteria that have to be met in order to classify you as a “true Independent Contractor” as opposed to an Employee.  It is very likely that your “employer” is borderline on a few of those criteria, so you can honestly indicate that you are not sure if you are an Independent Contractor or an Employee.  Once that can of worms is opened, your “employer” could face some pretty hefty fines if the ruling goes against them.  Most “employers” would rather pay their Independent Contractor what is owed than have to go through that. 


2.  Contact the State Attorney General’s office. 


You would probably have to contact the Attorney General in the State that you live in, as well as the one in the State where your “employer” does business.  They have the power to fine “employers” who do not pay wages owed.  Most “employers” want to stay as far away from their State Attorney General as possible, so they will probably pay up. 


Every State has different ways to file a complaint.  You can call the Attorney General in your State to find out what you have to do.


Below is an excerpt from an article I found with reference to Massachusetts.  It is regarding how companies end up being audited to determine if they have Independent Contractors or Employees.  It explains a little bit more the role of the State Attorney General’s Office and Unemployment Office.   (Excerpt 1)


3.  File a Small Claims case. 


Although most States require that the claim be filed in the State where the dispute arose, there are a few States that will allow you to file in the State where you reside.  You really need to call the Small Claims Court in your City or County and ask them what they allow.  Many States now have the forms available to either fill out or print on-line.  Also, some States require “Mediation” before the case can be brought before a Judge.  In some States, “Mediation” can be conducted either by video conference or teleconference. 


Below is an excerpt from an article I found with reference to Florida.  It gives an amusing and information narrative of Small Claims in Florida.  This may or may not be the same as your State, but it does give some interesting information.   (Excerpt 2)


You really should do something.  I know it is tempting to give up because you think it will cost more to pursue it than what you are owed, but it sounds like this woman needs to find out that running a business means taking the bad along with the good.  Too many companies get away with not paying their Independent Contractors knowing few will pursue it.  That is just wrong.  There really should be more protection for Independent Contractors.  After all, just because the Federal and State taxes and Social Security are not taken out of a “paycheck,” they are still being paid to the Government.  I do not believe for one minute that your “employer” is going to send in the taxes for the $600 she did not pay you – the whole thing is going right into her pocket.  If the Government wants to keep collecting those billions of dollars, it should help Independent Contractors get paid what they earn. 


Good Luck.


 


EXCERPT 1: 


How do these seemingly private and arcane business relationships come to the attention of State auditors?  Usually, the presumed independent contractor/employee relationship ends badly.  The disgruntled “independent contractor” then makes report to the Fair Labor and Business Practices division of the Massachusetts Attorney General’s Office which is empowered to enforce Massachusetts laws relating to the payment of wages.  Another more likely path to an audit occurs when the former “independent contractor” mistakenly believes that they are entitled to unemployment compensation and makes an application for unemployment benefits.  Obviously, an independent contractor cannot collect unemployment compensation benefits, however, an application for such benefits triggers an investigation and hearing by the Division of Employment and Training.  If the Division determines that a company has misclassified an employee as an independent contractor, it will audit the company for unpaid benefits on behalf of that worker, seek compensation for payment during the worker’s tenure with the company, and demand payment for other similarly situated workers.


 


EXCERPT 2: 


Inside the small-claims courtrooms of Central Florida, casualties of the economy fill up the dockets.  Unpaid workers trying to collect from cash-strapped employers.  Landlords going after back rent.  Credit-card companies wanting their money.  Homeowner associations and condominiums owed delinquent dues.

"It's definitely economic driven — a lot of them want to pay their bills and can't," Orange County Civil Court Judge Antoinette Plogstedt said.  In Orange County, the number of small-claims cases increased from 14,333 in 2006 to 16,872 in 2008.  The increase reflects the numbers of people falling behind on their rent, mortgages, loans, payrolls and expenses.

Every day on average, 46 people file a small-claims lawsuit in Orange County.  Many know little about the "people's court" other than the histrionics and bad behavior they see in the afternoon court TV shows.  Little of that goes on in the Orange County courtrooms, where the civil court judges have little signs on their desks that read "Professionalism demands courtesy" — a reminder that civil court should remain civil.

In Orange County, all small-claims cases must go through pre-trial mediation before they reach a judge.  Mediators — volunteers trained in impartial conflict resolution — meet with both sides to determine whether the dispute can be settled out of court.  In 2008, 75 percent of the 6,931 cases in Orange County that went to mediation were resolved without a judge.

On a typical day, 100 small-claims cases will be scheduled for mediation. Three out of four involve credit-card debt, delinquent car payments, bank loans and payday advances.  Only about 20 — a fifth of the cases — actually show up.

Those entering mediation are often nervous and uncertain about how mediation works.  "I've never been through anything like this before," said a woman in mediation with her credit-card company.

She sat alone at the rectangular table where the mediator called the credit-card company lawyer for a teleconference.

"There's no pressure here," the mediator assured her. "You are in control today."




So glad you posted this info... - Serious

[ In Reply To ..]
So glad you posted this information - really! I AM willing to go further with this -- for my sake -- and hopefully for the sake of any other individuals who wind up potentially in this situation in the future.

I am in New Jersey. Her company's in Colorado. (I bet a lot of people reading this are already shaking their heads as they probably know the name of the company due to her bad rep.)

The company is Serviss Transcription LLC. Figure since I'm only stating the honest facts, there's no harm in giving the name of the company. Please let me know if you find anything out. It sounds like you have access to a lot of good, pertinent information!

I may need help if my ex-employer does not give final check - on a timely basis, sooner rather than later.

[ In Reply To ..]
It's a totally messed up company (TTS, LLC) run by people who have made mistake after mistake so I do not trust the honesty or competency of people running it. (After reading some of the archives on MT Stars it looks like I'm not the only one to have problems with this particular company.)

I am in Ohio and the company is located in New Hampshire. Do I have any recourse if I am not paid on time after being terminated from the company? I was an IC.

Thanks for any help you can offer. Hopefully I won't need it but just in case owners try to brazen it out and hold the final pay, I would love to know where to go for help.

PS: How can I find who actually owns the company and/or has a financial interest in it?

When Final Paychecks are due according to State Law - Good Luck

[ In Reply To ..]

In researching TTS, it appears that they offer both Employee and Independent Contractor positions.  Since you did not state in your post which you are, I will give both scenarios.


If you are an Independent Contractor, your options are limited to Small Claims Court or trying to convince them that it is in their best interest to pay you right away.   From what I have read, that company is prime for the Employee versus Independent Contractor status misclassification.  If you are laid off or fired, I would definitely apply for Unemployment Compensation.  You may very well be determined to be an Employee and, therefore, would qualify.  


If you are an Employee, it is much easier to remind them that you should be paid promptly.  You would follow the laws of the State that you live in (not the State TTS is in).  Simply Email them the information below, citing the Ohio Labor Law.  I am surprised that Ohio does not have any laws regarding Employees who are fired.  However, I am sure TTS has no clue what goes on in Ohio – they may know about New Hampshire only.  So just include the information about when and the Labor Law citation (conveniently leave out the part about that it is for Employees who quit.  LOL)   


From the United States Department of Labor Website:  


“Employers are not required by federal law to give former employees their final paycheck immediately.  Some states, however, may require immediate payment.  If the regular payday for the last pay period an employee worked has passed and the employee has not been paid, contact the Department of Labor's Wage and Hour Division or the State Labor Department.”  


For Ohio that would be:  


Department of Commerce


77 South High Street, 22nd Floor


Columbus, OH  43215


(614) 644-2239


Or you can go to their website  


 


To find information about a particular company, the first place to start would be the State’s Secretary of State’s Office.   If the company is registered and files Annual Reports, those might be on-line and will give a wealth of information regarding the company.  Each State has their own requirements and laws.   


In the case of New Hampshire:  


“New Hampshire law requires that anyone doing business under any name other than his or her own must register that name with the Secretary of State.”   


You can find the name and address registered, along with a one-page 2010 Annual Report, which really does not give much additional information, but is interesting anyway.   


 


Below is the chart for when Final Paychecks for EMPLOYEES are required by State Law to be disbursed.  It might be something everyone should copy and save for future reference – just in case.   


Hope this helped.   


 


Chart: Final Paychecks for Departing Employees


Many employers break these laws out of ignorance. They assume that paying the employee on the usual payroll schedule is sufficient. But violating these laws -- even unwittingly -- can be costly. In some states, if an employer fails to pay a departing employee within the legal time limits, the employer may have to pay additional penalties, interest, and the attorney fees and legal costs the employee has to spend forcing the employer to comply.    


Here is a rundown of state laws regarding the timing of final paychecks:


 


















































































































































































































Alabama



No statute



Alaska



If employee is fired: within three working days.  


If employee quits: next regular payday at least three days after employee gives notice. (Alaska Stat. § 23.05.140.)



Arizona



If employee is fired: within three working days or next payday, whichever is sooner.  


If employee quits: next payday. (Ariz. Rev. Stat. Ann. § 23-353.)



Arkansas



If employee is fired: within seven days. (Arkansas Code § 11-4-405.)



California



If employee is fired: immediately.  


If employee quits: within 72 hours, or immediately if employee has given at least 72 hours' notice. (Cal. Lab. Code §§ 201, 202, and 227.3.)



Colorado



If employee is fired: immediately. (Within 6 hours of start of next workday, if payroll unit is closed; 24 hours if unit is offsite.)  


If employee quits: next scheduled payday. (Colo. Rev. Stat. Ann. § 8-4-109.)



Connecticut



If employee is fired: next business day.  


If employee quits: next scheduled payday. (Conn. Gen. Stat. Ann. § 31-71c.)



Delaware



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Del. Code Ann. tit. 19, § 1103.)



District of Columbia



If employee is fired: next business day.  


If employee quits: next scheduled payday or within seven days, whichever is sooner. (D.C. Code § 32-1303.)



Florida



No statute.



Georgia



No statute.



Hawaii



If employee is fired: immediately or next business day, if conditions prevent immediate payment.  


If employee quits: next scheduled payday or immediately, if employee gives one pay period's notice. (Haw. Rev. Stat. § 388-3.)



Idaho



If employee is fired: next payday or within 10 days, whichever is sooner. If employee makes a written request for earlier payment, within 48 hours of receiving request.  


If employee quits: next payday or within 10 days, whichever is sooner. If employee makes a written request for earlier payment, within 48 hours of receiving request.(Idaho Code §§ 45-606, 45-617.)



Illinois



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (820 Ill. Comp. Stat. 115/5.)



Indiana



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. If employee has not provided a forwarding address, employer may wait until ten days after employee demands wages or provides an address where the check may be mailed. (Ind. Code §§ 22-2-9-2 and 22-2-5-1.)



Iowa



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Iowa Code Ann. § 91A.4.)



Kansas



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Kan. Stat. Ann. § 44-315.)



Kentucky



If employee is fired: next scheduled payday or within 14 days, whichever is later.  


If employee quits: next scheduled payday or within 14 days, whichever is later. (Ky. Rev. Stat. Ann. § 337.055.)



Louisiana



If employee is fired: next payday or within 15 days, whichever is earlier.  


If employee quits: next payday or within 15 days, whichever is earlier. (La. Rev. Stat. Ann. § 23:631.)



Maine



If employee is fired: next scheduled payday or within two weeks after demand, whichever is earlier.  


If employee quits: next scheduled payday or within two weeks after demand, whichever is earlier. (Me. Rev. Stat. Ann. tit. 26, § 626.)



Maryland



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Md. Lab. & Emp. Code Ann. § 3-505.)



Massachusetts



If employee is fired: immediately.  


If employee quits: next scheduled payday or the Saturday following the employee's resignation, if there is no scheduled payday. (Mass. Ann. Laws ch. 149 § 148.)



Michigan



If employee is fired: next payday.  


If employee quits: next payday. (Mich. Comp. Laws §§ 408.474, 408.475.)



Minnesota



If employee is fired: immediately.  


If employee quits: next payday. If payday is less than five days after last day of work, employer may pay on the following payday or 20 days after last day of work, whichever is earlier. (Minn. Stat. §§ 181.13 and 181.14.)



Mississippi



No statute



Missouri



If employee is fired: immediately. (Mo. Ann. Stat. § 290.110.)



Montana



If employee is laid off or fired for cause: immediately. Employer may have a written policy extending this time to the next payday or within 15 days, whichever is earlier.  


If employee quits: next payday or within 15 days, whichever is earlier. (Mont. Code Ann. § 39-3-205.)



Nebraska



If employee is fired: next scheduled payday or within two weeks, whichever is earlier.  


If employee quits: next payday or within two weeks, whichever is earlier. (Neb. Rev. Stat. § 48-1230.)



Nevada



If employee is fired: immediately.  


If employee quits: next scheduled payday or within seven days, whichever is earlier. (Nev. Rev. Stat. §§ 608.020 to 608.030.)



New Hampshire



If employee is fired: within 72 hours. If employee is laid off, employer may wait until the next payday.  


If employee quits: next scheduled payday or within 72 hours, if employee gives one pay period's notice. (N.H. Rev. Stat. Ann. § 275:44.)



New Jersey



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (N.J. Stat. Ann. § 34:11-4.3.)



New Mexico



If employee is fired: within 5 days.  


If employee quits: next payday. (N.M. Stat. Ann. §§ 50-4-4 and 50-4-5.)



New York



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (N.Y. Labor Laws § 191.)



North Carolina



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (N.C. Gen. Stat. § 95.25.7.)



North Dakota



If employee is fired: next payday or within 15 days, whichever is earlier.  


If employee quits: next payday. (N.D. Cent. Code § 34-14-03.)



Ohio



If employee quits: first of the month for wages earned in the first half of prior month; fifteenth of the month for wages earned in second half of prior month. (Ohio Rev. Code Ann. § 4113.15.)



Oklahoma



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Okla. Stat. Ann. tit. 40, § 165.3.)



Oregon



If employee is fired: end of next business day.  


If employee quits: immediately if employee has given 48 hours' notice. Without notice, within five days or the next payday, whichever occurs first. (Or. Rev. Stat. § 652.140.)



Pennsylvania



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (43 Pa. Cons. Stat. Ann. § 260.5.)



Rhode Island



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (R.I. Gen. Laws § 28-14-4.)



South Carolina



If employee is fired: within 48 hours or next scheduled payday, but not more than 30 days. (S.C. Codified Laws § 41-10-50.)



South Dakota



If employee is fired: next payday or when employee returns employer's property.  


If employee quits: next payday or when employee returns employer's property. (S.D. Codified Laws §§ 60-11-10 and 60-11-14.)



Tennessee



If employee is fired: next scheduled payday or within 21 days, whichever is later.  


If employee quits: next scheduled payday or within 21 days, whichever is later. (Tenn. Code. Ann. § 50-2-103.)



Texas



If employee is fired: within six days.  


If employee quits: next payday. (Texas Code Ann., Labor § 61.014)



Utah



If employee is fired: within 24 hours.  


If employee quits: next scheduled payday. (Utah Code Ann. § 34-28-5.)



Vermont



If employee is fired: within 72 hours.  


If employee quits: next scheduled payday or, if no scheduled payday exists, the next Friday. (Vt. Stat. Ann. tit. 21, § 342.)



Virginia



If employee is fired: next scheduled payday.  


If employee quits: next scheduled payday. (Va. Code § 40.1-29.)



Washington



If employee is fired: next pay period.  


If employee quits: next pay period. (Wash. Rev. Code § 49.48.010.)



West Virginia



If employee is fired: within 72 hours.  


If employee quits: Immediately if employee has given one pay period's notice; otherwise, next scheduled payday. (W. Va. Code § 21-5-4.)



Wisconsin



If employee is fired: next payday or within one month, whichever is earlier. If termination is due to merger, relocation, or liquidation of business, within 24 hours.  


If employee quits: next payday. (Wis. Stat. Ann. § 109.03.)



Wyoming



If employee is fired: five business days.  


If employee quits: five business days. (Wyo. Stat. Ann. § 27-4-104.)



 


 


 

Extra information about TTS - Winnie
[ In Reply To ..]
You may not be aware that much of TTS' banking and such is now done through Florida and they may well have become incorporated in FL as well. No big surprise as Florida has not statute in this regard. This is so telling about this company. Despicable behavior.
Thanks for the info Winnie - This does make me wonder about TTS.
[ In Reply To ..]
I heard that 5-6 MTs were let go at TTS within 1 week and none were newbies at the company. Pretty despicable behavior in today's economy. I think maybe TTS is losing accounts. I work there and that could happen to me. I have been running out of work too.

On a post below someone said owner screamed at them till her voice cracked during phone conversation. I can believe this because of her mood swings I have experienced. She didn't scream but was forgetful, distracted and annoyed at my legit questions and she was the one who told me to call her directly if I had any questions.


When were you terminated by TTS? - My experience

[ In Reply To ..]
I quit and I want to think I received my final check at the end of the current pay period but was told I would not get it until I returned equipment (I had a foot pedal). I returned it and was paid promptly so I really do not think you'll have a problem.
Termination 04/28/10 - final check due 05/21/10 - TTS error
[ In Reply To ..]
I received notification on 04/28/10 to return foot pedal after being fired on 04/28/10 or my "final pay ONLY" would be held. My FINAL pay was due on 05/21/10. They withheld the very next pay on 05/07/10. I was busy looking for another job and their stupid pedal was not a priority in my life because I was under the impression (from TTS company e-mail) I had until the 05/21/10 FINAL pay to return the pedal.

My overall impression of this company is it is a ruthless company who makes careless and stupid mistakes at the MTs expense. The arrogance of management is unbelievable. TTS was the worst employment experience I have ever had and as a frame of reference I worked for Medquist for 8 years. Compared to TTS, working at Medquist was a walk in the park on a sunny spring day. TTS is one huge mistake after another. A screwed up company from top to bottom management.




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Any Companies Allow MAC Use?
Feb 23, 2012

Experienced MT looking for PT work but currently have a MAC with dual operating system (VMware Fusion) or Windows on a MAC.  Any info on companies that allow this, if any, would be greatly appreciated!  My choice would be NOT to have to buy a new PC unless I absolutely have to!  Thanks! ...


I Have To Wonder How These Companies Think We
Apr 13, 2012

can make it on $15 a day!!  I just started a week ago yesterday and have also run out of work twice.  This is really pathetic.  I know some on here say they would never take such a low paying job (4 for editing and 6 for straight typing).  Had I not been desperate, believe me I would not have either.  I have to wonder what happened.  I know I will get a lot of answers to that question, but why in the world are we the ones getting such lousy pay?  I am seriously ...


All Companies Are The Same. They All Want You To
Apr 23, 2012

guess if you cannot understand something.  Oh they won't tell you straight out to guess, but that is what they want you to do.  It is the same ole blame the MT mentality.  If the ESL is horrible, do not dare ask them to speak better.  MAke the MT guess and if SHE gets it wrong, it is on HER head.  No thank you!!  God what I would not do to find something else:))) ...


Are All Companies Going To VR?
May 21, 2012

My pay has been cut by more than half and I'm working longer hours due to VR on most accounts.  Well, when I have work anyway.  Are there any companies that hire for straight typing any longer? How do people live on this work now? I had to come back to my verbally abusive husband due to no money and I was literally starving.  This is all I know, have been an MT now for 20 years.  What to do............ ...


What Gets Me About Certain Companies
May 25, 2012

is when they post an ad for help.  I send my resume clearly showing my experience for the job and they never even contact me, even putting up another ad.  This just gets me!! ...


Looking For Companies That Pay 8 Cpl
Jun 12, 2012

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