I'm working for an end client X with a prime vendor Y in between my employer Z (based off VA) and client X (MA). The position was Contract to Hire and i have been working as contractor for past 9 months. I have been reach out by my prime vendor Y through Client for the Full time position in Client location. Prime vendor is okay with it as this position was for contract to Hire. I have signed non-compete agreement with my employer in past which was pre-dated to 2 month when i signed with out any wavier for those 2 months (will this contract still be liable and legit ? ). I accepted the full time offer in the client location but now my Employer is giving me hard time by holding my pay and threatening to file a lawsuit. Its been a month i haven’t received any letter from them/ lawyer. I called them today and asked about the pay since i am paid monthly, they told me their attorny will reach out to me. I asked them when can i expect to hear from them, they wouldn’t answer anything. Not sure if they are lying to threaten me and didn’t disclose anything regarding their law firm. Can my employer file a lawsuit even when the position was for contract to hire? And Client actually reached out to me through proper channel for the FT position. What happens it my employer have filed a lawsuit? Can they hold my pay? How can this situation be handled? What is the worst case scenario? Please Advise

Thank you

Dhoti ho bhane baaal diye huncha boro..... no need to worry they will not come after one person. take FT and enjoy life.

But legally , they can. If you have signed no-competency contract, they can claim the loss you have caused to them.

I agree, legally yes, however, most of the desi consultancies will not considering they do a lot of "hinamina" themselves so it highly unlikely they will come after you.

You can file a complaint against them with DOL for holding your pay. They will be screwed bad time.

yes..they can. They will only do if they think outcome is favorable to them. But i doubt it. instead of not honoring the binding contract.... if would suggest communicate with them.... communicate.... bring the human side of the story... not the transnational aspect ...... make it compelling.... after all no lawyers needed.... happy ending....

theAngryGuy, what is non compentancy contract ?

@sinope..... please do not ask definition of legal terminology to non legal ( assuming) person here..... google it.... you will get it... don't ask something just to give hard time to other person.... be nice.....

@Sinope , not sure if you are being sarcastic on spelling mistake. Anyway, what I was referring to was a contract that clearly says that you will not take any job which will directly or indirectly hamper ( causing some financial loss ) your employer's business like by working with the vendors/clients that you got in touch through them. There is usually a time/duration specified in the contract for how long you can not work to those clients. If employer has this signed document and you violate it, it is totally upon them whether to bring the case to court or not. If they do (usually desi consultancies won't as they have a lot to hide , and consultants know a lot) , it is just a matter of monetary bargaining, they are going to win the case.

Withholding wage is different issue than non compete. So file a complaint with DOL. They cannot hold your money for any reason and will surely comply.
Since you were hired for the project as a contract to hire, you can easily argue if they sue because they agreed with the vendors to send you as a resource in bad faith. They had prior knowledge of clients expectations. Also checkout non-compete laws in VA and MA, it very hard for them to prove that you joining client will do them severe damages. Most Indian consultancies try to show you fear of lawsuit and instead ask for cash payments to drop the case. I would ignore all those threats unless you get served papers physically to you. Dont worry about big emails from their so-called lawyers. Email communication is not valid for legal purposes.

Thank you , thank you all for the response and i really appreciate you guys help and suggestions.

Skywalker, you are in upper hand here. They do not have any right to withhold your pay in any case whatsoever. Because non-compete and wage issues are a totally different issue.

Write them an email formally saying that, if you do not receive you pay before the end of business day today you will file a complaint with Virginia Department of Labour and state attorney General.

Matter of fact if they don't, write an email to them again and cc state's attorney general and labour department. Make sure you include the dates you have not been paid and some kind of proof that you have not been paid.

Remember unless you signed a consent form stating that it is ok for them to withhold your pay you are on the upper hand.

@ fdpower - Thank you for your response. So which state do i file a complaint ? Employer is based off Virginia and i worked in Massachusetts. As per VA labor & employment law states that claim should be filed in state in which work was performed.

Which ever state you pay taxes for.