Annie Hunt Mar. 9, 2016, 1:22pm

PHILADELPHIA — A former employee is suing a New Jersey company, alleging it entered into a fraudulent contract and failed to pay due compensation.

Omar Rao of Philadelphia filed a lawsuit Dec. 21 in U.S. District Court for the Eastern District of Pennsylvania against All Solutions Inc. of Livingston, New Jersey, and Nalit Patel, alleging violations of the Fair Labor Standards Act (FLSA), the Pennsylvania Minimum Wage Act, the Pennsylvania Wage Payment and Collection Law, the New Jersey Wage Payment Law, the Sales Representatives’ Rights Act, and Pennsylvania and New Jersey Common Law. Rao further charges the defendants with breach of contract, unjust enrichment, fraudulent inducement and tortious interference with contract.

According to the complaint, Rao left a high-paying position at Software One to work for All Solutions beginning May 1, 2015. The defendants, the suit says, agreed to pay Rao $96,000 per year base salary, 50 percent commission on accounts closed for the remainder of 2015, and a raise to $350,000 per year starting Jan. 1, 2016.

The plaintiff alleges on Aug. 31, 2015, after working without pay for four months, he was issued a check for $8,000 (approximately 25 percent of the agreed upon base salary) and then was constructively discharged Sept 15, 2015.

The lawsuit states the defendant demanded Rao return company equipment and refrain from contacting clients, some of which he says he brought with him from his previous job. After more than three months since his termination, the plaintiff alleges he has not received compensation for his employment in violation of several state and federal laws.

Rao seeks actual damages in the form of unpaid salary, benefits, lost wages, liquidated damages, punitive damages, attorney fees, costs, disbursements, interest and a trial by jury. He is represented by attorney James A. Bell IV of Bell & Bell LLP in Philadelphia.

U.S. District Court for the Eastern District of Pennsylvania Case number 2:15-cv-06732-LDD

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U.S. District Court of Eastern District of Pennsylvania
601 Market Street
Philadelphia, PA 19106

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