Legal Encounter Week 4 Law 531
Legal Encounters
LaTausha Freeman
Law/531
December 10, 2012
Lillian Watson
Legal Encounters
This paper will answer questions posed during employment legal encounters based on
law requirements to indicate liability and ramifications associated based on the scenario.
Legal Encounter 1
Cheeseman outlines that employment is subject to the common law of contracts (2010). Pat entered into an agreement with NewCorp for employment; acting on the premise that NewCorp would uphold all terms of the employment agreement, made major personal and financial changes to be available for employment at the assigned duty location. Although Pat signed a document acknowledging his understanding that NewCorp had the freedom to discharge at will—Pats supervisor told Pat he was being discharged because “things weren’t working out”. NewCorp did not follow company procedure to notify Pat of unsatisfactory performance and neglected to offer a Corrective Action Plan. NewCorp, having a signed copy of the discharge at will document, could argue that the company was not required to offer Pat notification or the opportunity to follow the Corrective Action Plan process. An important factor in this instance is the implication that Pat is being released based on unsatisfactory performance. NewCorp is terminating the employment contract without complying with all clauses of the employment contract and as a result Pat is taking a financial loss. Additionally, an employer under the Plant Closing Act Is exempt from notification of lay off for reasons unforeseeable at the time of notification—this does not appear to be the case in Pats situation (Cheeseman, 2010). In NewCorp’ s defense, the company could consider the employment agreement to be a voidable contract with NewCorp having the option to avoid their contractual obligations, which although Pat suffered a loss from the termination of employment, would be personally liable for any decisions or financial ramifications
LaTausha Freeman
Law/531
December 10, 2012
Lillian Watson
Legal Encounters
This paper will answer questions posed during employment legal encounters based on
law requirements to indicate liability and ramifications associated based on the scenario.
Legal Encounter 1
Cheeseman outlines that employment is subject to the common law of contracts (2010). Pat entered into an agreement with NewCorp for employment; acting on the premise that NewCorp would uphold all terms of the employment agreement, made major personal and financial changes to be available for employment at the assigned duty location. Although Pat signed a document acknowledging his understanding that NewCorp had the freedom to discharge at will—Pats supervisor told Pat he was being discharged because “things weren’t working out”. NewCorp did not follow company procedure to notify Pat of unsatisfactory performance and neglected to offer a Corrective Action Plan. NewCorp, having a signed copy of the discharge at will document, could argue that the company was not required to offer Pat notification or the opportunity to follow the Corrective Action Plan process. An important factor in this instance is the implication that Pat is being released based on unsatisfactory performance. NewCorp is terminating the employment contract without complying with all clauses of the employment contract and as a result Pat is taking a financial loss. Additionally, an employer under the Plant Closing Act Is exempt from notification of lay off for reasons unforeseeable at the time of notification—this does not appear to be the case in Pats situation (Cheeseman, 2010). In NewCorp’ s defense, the company could consider the employment agreement to be a voidable contract with NewCorp having the option to avoid their contractual obligations, which although Pat suffered a loss from the termination of employment, would be personally liable for any decisions or financial ramifications
References: Cheeseman, H.R. (2010). Business law. legal environment, online commerce, business ethics, and international issues, seventh edition. Retrieved from University of Phoenix Library.