Emma Employee works as a salesperson. Her company, International Widgets, implements a sales incentive program: If any salesperson sells 100 units in July, they will receive a $12,000.00 bonus. International states that the program is discretionary and that International may change it at any time. Emma is the only salesperson to sell 100 units in July. After she completes her sales, Emma is told by International that, due to the fact that overall company sales were down, they will invoke their discretionary right and will only pay her a $6,000 bonus. If you are on Learning Team A or B, set out International’s argument as to why it is legally justified to make this change. If you are on Learning Team C or D, set out Emma’s argument as to why she is entitled to her bonus. (Note: This is an individual assignment. I am just dividing the class by teams.)
Emma’s Employer International initiated a Unilateral contract. Emma met the requirements of said contract.
International Promised $10,000 in return for the performance of 100 units in July.
Emma sold 100 units, fulfilling the performance requirements. The use of the word discretionary implies that the performance requirements can be open for interpretation. There is no indication that Emma did not fully meet the performance requirements, only that International is suffering financial difficulties. Their financial situation should not be a considered factor in her receiving proper compensations.
Week 3, DQ 2
Jim’s Bakery is $5,000 behind in rent which must be paid by October 1 or Jim will be evicted. Jim decides to hold a special sale. He enters into an agreement with Amos La Famous to have Amos bake his special, unique and very famous cakes which Jim will sell during a special “Take the Cake” sale to run on September 29 and 30 and from which Jim will net $8,000. On September 24, Amos informs Jim that he has decided to take another job and will not be able to make the cakes for him. Jim