Featured / 4.23.2025

Big Win Against IBM: Employee Commission Case Successfully Resolved

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    At Lebau & Neuworth, we fight for employees who are denied fair pay—and we’re excited to share another important victory for workers’ rights.

    The Case: Ward v. IBM

    Tammy Ward devoted more than 30 years to IBM, excelling as a sales representative for IBM services. She consistently delivered millions of dollars in revenue for the company and earned recognition for her success. But after closing two major deals, IBM refused to pay her the incentive commissions she had earned.

    When Ms. Ward’s efforts to resolve the issue internally went nowhere, she turned to us for help. We filed a lawsuit in federal court in Maryland: Ward v. International Business Machines Corporation, Case No. 1:24-cv-00685-BAH (D. Maryland).

    IBM Tried to Shut the Case Down – and Failed

    IBM filed two separate motions to dismiss, claiming Ms. Ward’s claims weren’t legally valid. The federal judge rejected those arguments in full, allowing the case to move forward on every front.

    Key Legal Victories for Employees

    1. Maryland Wage Payment and Collection Law (MWPCL):
      The Court ruled that commissions are considered “wages” under Maryland law and cannot simply be withheld at the company’s discretion.
    2. Breach of Contract:
      The Court held that Ms. Ward had a valid breach of contract claim, rejecting IBM’s reliance on a disclaimer buried in its compensation documents.
    3. Unjust Enrichment and Promissory Estoppel:
      The Court also allowed these common law claims to proceed, reinforcing that companies must honor promises and pay employees for their work.

    Successful Resolution Through Settlement

    This week, the case was successfully resolved through a significant settlement. While the exact terms remain confidential, we are pleased to report that the outcome was to the full satisfaction of our client.

    During mediation, the judge noted how well-prepared and persuasive we were in presenting Ms. Ward’s case—a recognition we are proud to share.

    What This Means for Maryland Workers

    This case sends a clear message: employees deserve to be paid what they are promised. Employers cannot withhold commissions, bonuses, or earned wages without consequence.

    At Lebau & Neuworth, we are proud to stand up for workers across Maryland who face wage theft, unpaid commissions, or broken compensation promises.

    If you believe you’ve been denied fair pay, you don’t have to fight alone. We’re here to help.

    Contact us today at Lebau & Neuworth to learn more about your rights and how we can fight for you.

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