Breach of Implied Employment Contract

In California, most employees are employed “at will,” meaning that their employers can generally terminate them with or without cause as long as it is not based on a legally protected reason, such as gender or race. Employees with an implied or express employment contract, on the other hand, can only be fired by violating conditions set forth in the agreement. However, if your employer wrongfully terminates you, it is in your best interest to hire an Orange County business lawyer to protect your legal rights.

What Are Implied Employment Contracts?
An implied employed contract is a non-written contract that is based on a mutual understanding and expectations between two parties. An implied employment contract may be established between an employer and employee in several ways:

  • Number of years with the company;
  • Performance based on positive evaluations, salary raises, and bonuses;
  • Existing company policies, written or oral, describing disciplinary and termination procedures; and
  • Other criteria.

Implied Contracts Are Legally Enforceable
In the majority of circumstances, implied contracts are legally enforceable. Employers and employees are expected to abide by the terms of the implied or oral contract, and when the contract is breached or violated, parties can pursue legal actions.

If an implied contract is established, even an at-will employee cannot be terminated unless there is “good cause.” Good cause is commonly defined as having an honest and just reason for terminating an employee. Your Orange County business lawyer can provide you with more details as to what exactly entails good cause.

Need the Assistance of an Orange County Business Lawyer?
Generally, situations that involve implied contracts are significantly more complex than those involving written contracts. If you believe you were wrongfully terminated and your employment was established based on an implied contract or you have experienced a breach of your implied contract, you need to consult with a lawyer. Your attorney can explain all of your legal options and recommend a course of action. For a complimentary consultation with a Orange County business lawyer, please contact Reed Aljian and Justin Daily at (949) 861-2524.