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The Faithless Servant Doctrine in New York: How Employers Claw Back Compensation From Disloyal Employees
Your CFO of eight years just resigned to launch a competing firm. During her exit interview, you learn she spent the last 18 months quietly steering your biggest clients to a side business she secretly owned — while collecting her $340,000 salary, quarterly bonuses, and vested equity. You feel gut-punched, and you want your money back. In New York, the faithless servant doctrine may let you claw back every dollar she earned during that period of disloyalty. Not just the profi

Reza Yassi
3 days ago


The Faithless Servant Doctrine in New York: How Employers Recover Pay From a Disloyal Employee
You're a partner at a mid-sized architecture firm in Midtown. You just discovered your senior project manager has been funneling clients to a shell company he set up with his brother in Queens. He collected $340,000 in salary and bonuses over the eighteen months he was doing it. You feel gut-punched — and you want that money back. In New York, the faithless servant doctrine is often how employers get it. This is one of the oldest and sharpest weapons New York gives an employe

Reza Yassi
Aug 14


The Faithless Servant Doctrine in New York: How to Claw Back Pay from a Disloyal Employee
Your CFO resigned last month. In cleaning out her office, you found bank statements showing she'd been routing kickbacks from a vendor into a personal LLC for the last three years. She was making $350,000 a year while she did it. You want the kickbacks back — obviously — but here's the question your lawyer should be asking: can you also claw back every dollar of salary and bonus you paid her while she was cheating you? In New York, the answer is often yes, thanks to a common-

Reza Yassi
Jul 24


The Faithless Servant Doctrine in New York: How Employers Claw Back Full Pay From Disloyal Employees
Your CFO resigned last Thursday. On Friday, your bookkeeper flagged a decade of vendor invoices that don't tie to any project you can find. By Monday, an internal audit shows he'd been steering business to a shell company owned by his brother-in-law — and pocketing kickbacks on every invoice you paid. You want him prosecuted, but that's the DA's decision. What you actually control is a powerful civil remedy: under the faithless servant doctrine New York courts have applied si

Reza Yassi
Jul 3

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