Madison - St. Clair Record

Friday, April 10, 2020

Employment staffing firm wants Sigan America to pay for services

By Molly English-Bowers | Jan 11, 2016

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EDWARDSVILLE – A Madison County personnel business is suing a health and beauty company, alleging unpaid balance for a contract. 

Unique Personnel Consultants Inc. filed a lawsuit Dec. 23 in Madison County Circuit Court against Sigan America LLC, a private-label manufacturer of health and beauty products with a facility in Ottawa, alleging breach of contract and unjust enrichment.

According to the complaint, on Sept. 4, 2014, Unique Personnel entered into an oral agreement wherein Sigan America agreed to compensate the plaintiff for its employment services. The plaintiff provides its employees with vacation pay, holiday pay and health insurance, so that its clients don't have to, the suit says.

The defendant agreed to pay the plaintiff a rate of 26.5 percent markup for all positions staffed by the plaintiff. In return, the lawsuit states, Unique Personnel agreed to provide Sigan America with employees, and to cover employees' wages, payroll tax, workers compensation and other employment requirements.

No formal agreement was signed by the parties, but the defendant accepted the plaintiff's terms when it accepted 66 initial employees, as well as subsequent employees, and by paying the plaintiff, the suit says. As a courtesy to the defendant, Unique Personnel allowed weekly payments for its services, and the defendant did so, the complaint states.

On Sept. 1, Sigan America ended its relationship with the plaintiff, at which time there was an outstanding balance of more than $800,000, the suit says. The plaintiff demanded payment and the defendant refused, the suit alleges, even though the defendant continued to make weekly payments. The last payment the defendant made was Oct. 29, leaving a remaining balance of $153,513, the suit says.

Unique Personnel Consultants seeks the outstanding balance owed, plus accrued interest and other relief the court deems proper. It is represented by attorney Andrew G. Toennies of Lashly & Baer PC of St. Louis.

Madison County Circuit Court case number 15-L-1667

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