Question: . On April 15, 2011, Juniper started working as a mechanical engineer at Bad Engineering Corporation Ltd. Junipers salary started at $100,000 per year, and
. On April 15, 2011, Juniper started working as a mechanical engineer at Bad Engineering Corporation Ltd. Junipers salary started at $100,000 per year, and by 2021 had reached $150,000 per year.
At the time Juniper began working at Bad Engineering in 2011, she signed a written employment agreement that had the following termination clause:
Juniper and Bad Engineering agree that either party may terminate this employment relationship by giving the other party one weeks notice of termination (or equivalent pay).
On April 15, 2021, Junipers boss at Bad Engineering informed Juniper that she was being terminated. They wanted her to leave that same day (today) and paid her one weeks salary- to April 22, 2021.
Junipers boss told Juniper she had been an excellent employee, but the contract she agreed to required that they only give one weeks notice (or equivalent pay), so that is all they would pay her.
Juniper replied I know I agreed to that amount of notice in my contract, but it seems so unfair after 10 years of work to only get a weeks pay.
Today, Juniper is 45 years old. The reason she was fired from her job is due to downsizing- the market for mechanical engineers is really bad right now, and its difficult to find another job. Mechanical Engineering businesses also tend to prefer not hiring people over the age of 40.
Juniper decided to hire a lawyer and sue Bad Engineering for wrongful dismissal. Will Juniper be successful? In answering the question, please be sure to discuss the following:
- whether the termination clause is legally enforceable.
- If the termination clause is not enforceable, how much (common law) notice Bad Engineering in required to pay Juniper
- HINT: It is NOT 8 weeks (2 months)
In answering this question, be sure to use the IRAC case analysis method
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