NewCorp Scenarios Legal Brief
LAW 531
April 16, 2012

NewCorp Scenarios Legal Brief
Question 1:
What liabilities and rights do NewCorp and Pat have in this situation? What legal principles, such as statutory or case law, support those liabilities and rights?
Answer:
State of Vermont is an “at-will” employment state. The definition of “at-will” means the employer or employee can terminate the contract at any time without liability to other party. This gives NewCorp the right to fire, hire, or terminate for any or no reason as long as it is not illegal. When the employer terminates the contract it is a revocation of authority and when the employee terminates the contract it is renunciation of authority. NewCorp used revocation of authority to discharge Pat and did not violate any rights. Pat acknowledged that the contract he signed clearly said that NewCorp observed employment at will with respect to discharge. Written employment agreements are always enforceable in the court of law (Cheeseman, H. (2010). On the other hand when Pat signed and accepted employment he received the NewCorp personnel manual. In the manual he found that NewCorp has the policy or process in place for dealing with unsatisfactory employees. This gives Pat an implied impression that NewCorp “at-will” policy is limited. If Pat gets legal help and shows that he relied on the provision of the manual in continuing his employment with company or that the law of promissory estoppel applies, Pat could use this to counter the “at-will” doctrine and interpret the policy as a contractual agreement. Pat has the right to receive a warning, be placed on a corrective action plan and given time to correct his performance and quality of work to a satisfactory level. As NewCorp did not follow their process, it is liable and Pat therefore has the right to sue based on the breech of the implied