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Misunderstanding Changed my Sales Draw from Non-Recoverable to Recoverable – I’m out $22k – need advice

Hi Everyone. Thanks for your help. My situation is that I followed one of my mentors from a horrible corporate overlord to a small business (relocating my family to do so). My old mentor and I worked together to make sure we had aligned a suitable compensation package setup, but in the new company, he doesn't have an HR team to build the offer letters. Long story short, we set up a draw and the verbiage was vague, so we talked about it and he confirmed multiple times that it was non-recoverable (meaning, I don't have to pay the company back). Well, 4 months in, I catch a big fish and exceed my expected commissions. This is how I find out the CEO of the company has thought I am on a returnable draw (that I am basically borrowing money from him). So I think the company still owes me…


Hi Everyone. Thanks for your help. My situation is that I followed one of my mentors from a horrible corporate overlord to a small business (relocating my family to do so). My old mentor and I worked together to make sure we had aligned a suitable compensation package setup, but in the new company, he doesn't have an HR team to build the offer letters. Long story short, we set up a draw and the verbiage was vague, so we talked about it and he confirmed multiple times that it was non-recoverable (meaning, I don't have to pay the company back). Well, 4 months in, I catch a big fish and exceed my expected commissions. This is how I find out the CEO of the company has thought I am on a returnable draw (that I am basically borrowing money from him). So I think the company still owes me $22k and the CEO thinks we are even, and he took my first three months out of my commission check and doesn't want to pay the draw on the remaining two months (this is accurate for a returnable draw).

Additional info: I am in Texas. I totally get the CEO's side and he absolutely is a good and honest person. This is truly a misunderstanding because of the lack of detail in my offer letter. However, my mentor is on my side and confirms that he told me this was non-returnable. All I have to go off of is what is written and what my leadership confirmed regarding my compensation before I started the job, so I think he is wrong for not making it right with me. Is there any obligation for them to detail terms out if this is a returnable draw and I was actually borrowing money from the company? That seems like they would be legally required to define that on my contract if it were the case, right? I have attached all of the verbiage regarding the draw.

TLDR; My leadership assured me I was making money, but it turned out that I am borrowing it?

https://preview.redd.it/79bnw5crjyg91.png?width=633&format=png&auto=webp&s=0ade220fa489dc0bb088c676902a5dcd3eba48cc

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