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Arrow Employment Agency, Inc. v. Tom Rice Buick-Pontiac-GMC Truck Inc.

Supreme Court, Appellate Term, Second Department
Jul 17, 2000
185 Misc. 2d 811 (N.Y. App. Term 2000)

Opinion

July 17, 2000.

Judgment unanimously modified by increasing the amount of the award to $2,015, and as so modified, affirmed without costs.

Amos Weinberg, Great Neck, for appellant.

Gordon Kushnick Gordon, Huntington (Richard M. Gordon of counsel), for respondent.


MEMORANDUM

Appeal from decision unanimously dismissed.

In order to establish entitlement to recover employment agency fees, the case law has "insisted upon . . . a request by an employer to an agency for referrals; that the agency, in response to the request, made suitable referrals; that the employer hire an applicant sent by the Agency; that there be an agreement as to fee arrangements" (Robert Half of N.Y. v. Levine-Baratto Assoc., 126 Misc.2d 169, 171, citing, Costello Assoc. v. Standard Metals Corp., 99 A.D.2d 227).

It is uncontroverted upon this record that plaintiff, an employment referral agency, referred applicant Edith Lauder to defendant, at defendant's request, for the position of accounting manager/comptroller, and that approximately three weeks after defendant interviewed Lauder, it hired her for a position designated as systems coordinator for ADP Communications, at an annual salary of $40,300. Contrary to defendant's contention, the fact that Lauder was hired at a lower salary for a different position than what she was originally referred for does not defeat plaintiff's entitlement to recover its agency fees (see, Macro Group v. Swiss Re Life Co. Am., 178 Misc.2d 869; see also, Robert Half Personnel Agencies v. Certified Mgt. Corp., 102 Misc.2d 317). Moreover, even if Lauder was hired after she contacted defendant, this occurred subsequent to the initial interview with defendant which took place as a result of the original referral by plaintiff, and cannot constitute an attenuating circumstance absolving defendant of its liability (see, Macro Group Inc. v. Swiss Re Life Co., Am., supra).

The sole issue remaining is the existence of an agreement and the appropriateness of the amount of the award. Delivery of a letter setting forth the fee and proof of receipt entitles the agency to a fee (see, Costello Assoc. v. Standard Metals Corp., 99 A.D.2d 227). While an agreement between an agency and an employee must be in writing, an oral agreement between an agency and an employer is enforceable and not subject to the Statute of Frauds (see, Career Blazers Agency v. Corporate Graphics, 111 Misc.2d 47; see also, Howard-Sloan Legal Research, Inc. 193 A.D.2d 404; Hunt Personnel v. Hemingway Transp., 105 Misc.2d 626, 628). Further, where there is no express agreement as to the amount of the fees, the employment agency is entitled to recover on a quantum meruit basis (see, Career Blazers Agency v. Corporate Graphics, supra at 48) subject to the fee schedule set forth under subdivisions 5 through 9 of General Business Law § 185 (Career Blazers Agency Inc. v. Coporate Graphics, supra at 48-49; see also, Robert Half of N.Y. v. Levine-Baratto Assoc., supra at 170, citing, Pilot Employment Serv. v. Afro Int. Corp., NYLJ, December 15, 1997, p 3, col 6 [App Term, 1st Dept.] Robert Half Personnel Agencies v. Certified Mgt. Corp., supra at 318).

There is no basis upon this record to disturb the trial court's finding that the parties entered into an oral agreement. The evidence at trial, however, fails to establish the existence of an agreement between the parties as to the fees payable to plaintiff. Therefore the plaintiff's compensation is to be determined on a quantum meruit basis subject to the statutory fees as set forth under subdivisions 4 and 7 of General Business Law § 185 (see, Career Blazers Agency v. Corporate Graphics, supra, at 48-49). Since Lauder's employment is within the categories set forth under Class B, we find that under the circumstances plaintiff is entitled to a fee of $2,015.00.

We note that no appeal lies from a decision.


Summaries of

Arrow Employment Agency, Inc. v. Tom Rice Buick-Pontiac-GMC Truck Inc.

Supreme Court, Appellate Term, Second Department
Jul 17, 2000
185 Misc. 2d 811 (N.Y. App. Term 2000)
Case details for

Arrow Employment Agency, Inc. v. Tom Rice Buick-Pontiac-GMC Truck Inc.

Case Details

Full title:ARROW EMPLOYMENT AGENCY INC., APPELLANT, v. TOM RICE BUICK-PONTIAC-GMC…

Court:Supreme Court, Appellate Term, Second Department

Date published: Jul 17, 2000

Citations

185 Misc. 2d 811 (N.Y. App. Term 2000)
714 N.Y.S.2d 408

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